P.R. Laws tit. 21, § 5202
(a) Taxpayer.— Means every natural or juridical person subject to the taxes levied by law.
(b) Deficiency.—
(1) Means the amount by which the property tax levied by law surpasses the excess of:
(A) The sum of:
(i) The amount declared as taxes by the taxpayer in his/her tax return, if he/she filed a tax return and declared in the same any amount as tax, plus
(ii) the previously appraised amounts or those collected unappraisal, as a deficiency, over
(B) the total reductions made as defined in subsection (b)(2)(B) of this section.
(2) Rules for the application of clause (1).— For purposes of this subsection:
(A) The tax levied by law and the tax declared in the tax return shall both be determined without considering excess payments credited pursuant to § 5205(d) of this title.
(B) The term “reduction” means that part of a reduction, credit, reimbursement or other refund made because the tax imposed by law was less than the excess of the amount specified in clause (1)(A) of this subsection over the total of previously made reductions.
(c) Appraised.— When used in relation to the tax pending levy and notification, means the personal property tax that must be set for collection by the Collection Center.
(d) Valuation.— Means the total value of the personal property on which the tax will be levied.
(e) Market value.— Means the price that a person wishing to purchase would be willing to pay for a property to another wishing to sell, both acting with complete freedom and with full knowledge of all the factors subject to valuation, if the aforesaid should be put up for sale in a free market. In the case of merchandise for sale during the regular course of business of a merchant, trader or manufacturer, market value means what is provided by § 5086 of this title. The market value of property includes, among others, the excise taxes paid or pledged, freights, transport and insurance.
(f) Appraised value.— Means the value the taxpayer and/or the Collection Center has assigned to the personal property by the first of January of each year.
(g) Book value.— Means the cost of acquisition or production of the personal property adjusted for depreciation, obsolescence or other factors as reflected in the accounting books pursuant to generally accepted accounting principles.
(h) Volume of business.— The term volume of business means the gross income received or earned for rendering any service, for the sale of any goods, or for any other business activity.
History —Aug. 30, 1991, No. 83, § 6.02.