Puerto Rico as an Alternative to Renunciation

“What if I were to tell you that you can gain many of the tax benefits of expatriation without giving up your US citizenship?  Puerto Ricans are US citizens, and the currency is the US dollar. No passport is required for travel to Puerto Rico by US citizens. However, Puerto Rico has its own tax system.  Bona fide residents of Puerto Rico who have Puerto Rican-sourced income are exempt from US taxation.  Under the new law, a US taxpayer who gains Puerto Rican tax residency will be exempt on his short-term and long-term capital gain income for US federal and Puerto Rican tax purposes.  Dividend and portfolio interest income are also exempt from Puerto Rican tax.”

http://www.internationalman.com/articles/puerto-rico-as-an-alternative-to-renunciation

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