Thursday, December 2, 2021

Treasury Announces IVU-free Period for Back-to-school Sales

By on January 7, 2016

Treasury Secretary Juan Zaragoza announced Thursday that consumers will have a 24-hour period this weekend in which sales of school uniforms and supplies will not be charged the sales and use tax, or IVU by its Spanish acronym.

“The period begins [Friday] January 8 at 12:01 a.m. to 12:00 midnight [Saturday] January 9, 2016,” Zaragoza said. “While consumers as well as businesses are familiar on how this exemption works, we always urge them to verify the information and the detailed list of articles that are exempt from the IVU.”

The Puerto Rico Internal Revenue Code of 2011, as amended, exempts school uniforms and school supplies, as there defined, from the payment of the IVU for two days in January. Also, notebooks and school and university textbooks required in an academic or educational institution’s list are free from payment of IVU throughout the year, subject to certain requisites.

A school uniform is defined as dress and footwear specifically required by an educational institution for its students, and which does not aim to substitute regular clothing by use outside a school environment. School materials, which are exempt from IVU during the two-day period, include supplies commonly used by students throughout the school year, and may range from bookbags to pens.

More information is available at the Treasury Department website.

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