Reglamento 77

This regulation, issued by the Treasurer of Puerto Rico in March 1946, implements Act No. 63 of 1945, which aims to stimulate quality improvement in products through aging by granting property tax exemptions. It exempts products, scientifically recognized by the Treasurer as benefiting from aging, from property taxes for all fiscal years following the first year of storage. To qualify, products must be stored in "bond or aging warehouses" approved and strictly controlled by the Treasurer, requiring a bond and direct oversight by designated agents. All entries and removals of products from these warehouses must occur in the presence of an authorized agent, with unauthorized movements being unlawful and grounds for warehouse condemnation. The exemption applies only to products stored for at least one year, with containers clearly marked for identification and storage dates. Individuals seeking this exemption must file an annual written petition by January 15th, providing detailed information about the product. The Treasurer will investigate each petition and has the authority to deny or cancel exemptions if premises or records are not made available for inspection. This framework ensures stringent government control over the aging process to validate eligibility for the tax incentive.