As the COVID-19 vaccine has become readily available, and many employers contemplate employees returning to the office to work, both employers and employees have accelerated demands for new and permanent remote work location arrangements for a variety of jobs. Employers across the country are revisiting their business strategies, employment policies, and related legal and tax
tax reporting
Puerto Rico Revises Form for Reporting Payments to Terminated Employees, Considers Credit History Ban
Posted in Reporting, Severance Benefits
The Puerto Rico Department of the Treasury has announced changes to tax reporting for certain severance payments.
As a result of the Labor Transformation and Flexibility Act (Act 4-2017), adopted in 2017, certain limited payments made by an employer to an employee due to separation of employment are classified as “exempt income” under the Puerto…