P.R. Laws tit. 7, § 1227r
It is hereby resolved and declared that the purposes for which the Company and the different subsidiary corporations organized by it are public purposes for the general benefit of the people of the Commonwealth of Puerto Rico. The exercise of the powers and rights conferred under this chapter constitute the performance of essential government functions. Therefore, the Company and any subsidiary organized by it, shall not be required to pay taxes, state, or municipal imposts on any of the properties acquired by it or by any of them, or on their activities in the operation or conservation of any of its enterprises and properties that have not been sold, leased or otherwise transferred to third parties.
The revenues, interest or income produced by the bonds or any of the obligations issued by the Company or its subsidiaries, shall likewise be exempted from any type of taxes, or state or municipal imposts.
For all the preceding effects, it shall be understood as subsidiary, every commercial, industrial, mining or cooperative entity or organization, whose paid up capital, if a company, or whose assets, if a non-corporate entity, are wholly owned by the Company.
History —Dec. 28, 2003, No. 323, § 23, eff. 90 days after Dec. 28, 2003.