Puerto Rico, reported daily.
Thursday, November 12, 2026 · UTC
Puerto Rico

Puerto Rico moves to repay 78 towns $13.62M lost to drug inventory-tax break

Act 78-2025 cut the inventory tax on prescription drugs on July 27, 2025, and the money is to be returned town by town based on each one's loss.

References:
Share on X
Stands on 11 placed sources from 3 publishers.
Puerto Rico towns to recover lost funds from tax break
Puerto Rico towns to recover lost funds from tax break AI illustrationhow this picture was made
Puerto Rico's 78 towns are in line to get back the $13.62 million they lost when prescription drugs came off the municipal inventory tax, under a repayment that matches each municipality's own revenue drop rather than splitting the money evenly.[1][2] The request is moving. In a formal letter dated November 6, 2026, the Municipal Revenue Collection Center - CRIM, the office that collects taxes on the municipalities' behalf - asked the Office of Management and Budget to carry a $13,621,558 funding request to the island's fiscal oversight board, the money that would replace what the exemption drained from town coffers.[3][4][5] The hole traces directly to Law 78-2025, which took prescription medications out of the municipal personal property tax base by adding a subsection to Article 7.092 of the Municipal Code, Law 107-2020.[6][7] Since the law took effect on July 27, 2025, the exemption has cut municipal revenues by the full $13,621,558.[1][8] The policy trade was deliberate: prescription medicines already ride exempt from the sales and use tax, community pharmacies draw 90% of their revenue from prescription sales, and the inventory tax had discouraged pharmacies from keeping deep stock on shelves - which delays getting prescriptions into patients' hands.[9][10][11] Whether the towns are made whole now rests with the fiscal oversight board.
Proof11 sources · 3 publishers · signed
What this stands on
  1. Act 78-2025, signed into law on July 27, 2025, exempted prescription drugs from Puerto Rico’s inventory tax, reducing municipal revenues by $13.62 million since its implementation. · San Juan Daily Star
  2. The $13.62 million would be distributed to Puerto Rico’s 78 municipalities based on each jurisdiction’s revenue loss from the exemption, with no municipality receiving more or less than its lost revenue. · San Juan Daily Star
  3. CRIM sent a formal letter dated 6 November 2026 to OGP. · foronoticioso.com
  4. CRIM requested 13621558 USD to replace lost municipal tax revenue. · foronoticioso.com
  5. CRIM asked OGP to submit this funding request to the fiscal oversight board. · foronoticioso.com
  6. Law 78-2025 enacted the prescription medicine inventory tax exemption. · foronoticioso.com
  7. A subsection (ii) is added to Section 7.092 of Act No. 107-2020 to exempt prescription medications from personal property tax. · bvirtualogp.pr.govUnited Statesofficial source
  8. Prescription medicine inventory tax exemption cut Puerto Rico municipal revenues by 13621558 USD. · foronoticioso.com
  9. Prescription medications are exempt from the Sales and Use Tax (SUT) in Puerto Rico. · bvirtualogp.pr.govUnited Statesofficial source
  10. Community pharmacies obtain 90% of their revenues from prescription medication sales and 10% from over‑the‑counter products. · bvirtualogp.pr.govUnited Statesofficial source
  11. Property tax on inventory discourages pharmacies from keeping high levels of prescription medication stock, causing delays in patient dispatch. · bvirtualogp.pr.govUnited Statesofficial source
The one we could place publishes from United States. 2 could not be placed by their address. 1 is an official body, so this traces to the document itself.