La Fortaleza proposes temporary sales tax holiday on prepared foods


Advances police pay raises
By THE STAR STAFF
The administration of Gov. Jenniffer González Colón is seeking approval for a temporary exemption of Puerto Rico’s sales and use tax (IVU by its acronym in Spanish) on prepared foods and is moving forward with a second phase of salary increases for thousands of police officers, officials announced earlier this week during the government’s weekly Asunto Semanal briefing.
The proposed tax holiday, which was welcomed by restaurants, would suspend the IVU on purchases of prepared foods at restaurants and food establishments during November and December, a measure aimed at easing household expenses amid ongoing concerns over energy costs tied to petroleum prices.
However, officials emphasized that the exemption has not yet been approved and remains contingent on review and validation by the Financial Oversight and Management Board.
The administration also outlined plans for a second round of police salary adjustments, representing a $16 million investment and potentially benefiting up to 6,449 officers, subject to eligibility verification. Monthly increases are expected to range from $162.92 to $268.17 depending on rank and pay scale.
According to government officials, the raises are expected to appear in paychecks issued on Oct. 31 and would be applied retroactively to Aug. 1, 2026. The Office of Management and Budget said multiple agencies worked together to complete the budgetary process required to implement the adjustments.
A first round of raises for police was announced last week.
Beyond the tax proposal and police compensation measures, the administration used the briefing to showcase a series of economic development, energy and infrastructure initiatives underway across the island, including a more than $55 million expansion and modernization project by Toyota de Puerto Rico at its Parts and Vehicle Distribution Center in Toa Baja, ongoing work by Gravity Refit at the Port of San Juan -- the company has already invested $50 million to rehabilitate a 675-foot dry dock and is evaluating an additional investment exceeding $150 million to expand operations and create specialized jobs in the maritime sector -- and an energy development pipeline that currently has some $4.9 billion in renewable energy and energy-storage projects in various stages of development.
During the briefing, Human Resources Administration and Transformation Office Director Facundo M. Di Mauro Vázquez also detailed holiday leave provisions for public employees. Government workers will receive Nov. 20, Nov. 25 and Dec. 24 as administrative leave charged against vacation balances, while Nov. 27 and the period beginning at noon on Dec. 31 will be granted without requiring leave credits. Agencies were instructed to coordinate staffing plans to ensure continuity of essential services.
The administration further used the event to promote fraud prevention efforts targeting older adults. Naydik Ramos, a prosecutor with the Department of Justice’s Cybercrime Unit, warned residents about common scams involving fake emergency calls from relatives, fraudulent banking messages and the use of technology to mimic voices and identities.
Ramos urged the public to avoid clicking on suspicious links, refrain from sharing passwords or security codes in response to unsolicited requests, and report fraudulent contacts to authorities.



