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Instructions Form 499R-2/W-2PR
Withholding Statement
General Instructions to the Employee
All individual who during the calendar year receives payments for salaries subject to withholding under Section 1062.01 of the Puerto Rico Internal Revenue Code of 2011,
as amended (Code), will receive Form 499R-2/W-2PR. This form contains all the information required to file the income tax return, as well as to prove your right to social
security benefits.
Pursuant to the Code, an income tax return must be filed by any resident individual who:
is an individual or married taxpayer, who during the taxable year had gross income, reduced by the exemptions established in Section 1031.02 of the Code, greater
than zero, unless the tax on said income has been totally withheld at source;
is a married individual who lived with his/her spouse, and elects to file separate returns, that during the taxable year had gross income, reduced by the exemptions
established in Section 1031.02 of the Code, greater than zero; or
has net income subject to alternate basic tax of $25,000 or more.
Specific Instructions for the Employee
Verify that the information reported by your employer in this form is correct. This includes your name, social security number, wages and tax withheld, among others. Make
sure that the box corresponding to Electronic Filing Confirmation Number is completed, since this information is required to file your income tax return.
Box 5 - Cost of employer-sponsored health coverage: Transfer to Schedule A Individual, Part III, Column A, Contributions to eligible nonprofit organizations or entities
reported on a Withholding Statement (Form 499R-2/W-2PR) line, only the portion of this amount corresponding to your payments for health or accidents insurance premiums.
The portion of this amount corresponding to your employer's contribution, cannot be claimed as a deduction in your income tax return.
Box 6 - Charitable Contributions: Transfer this amount to Schedule A Individual, Part III, Column B.
Box 11 - Total: Transfer this amount to Part 1, line 1B, page 2 of the income tax return. If you choose the optional computation of tax for married individuals living together and
filing a joint return, transfer this amount to Schedule CO Individual, Part I, line 1, Column B or C, as applicable.
Box 12 - Reimbursed Expenses and Fringe Benefits: Transfer this amount to Schedule IE Individual, Part II, line 10.
Box 13 - Tax Withheld: Transfer this amount to Part 2, line 1A, page 2 of the income tax return. If you choose the optional computation of tax for married individuals living
together and filing a joint return, transfer this amount to Schedule CO Individual, Part I, line 1, Column A.
Box 14 - Governmental Retirement Fund: This amount cannot be transferred to any part of the income tax return, since it is excluded from the wages.
Box 15 - Contributions to CODA PLANS: This amount cannot be transferred to any part of the income tax return, since it is excluded from the wages.
Boxes 16, 17 and 18 - Exempt Salaries: Transfer this (these) amount(s) to the corresponding line of Schedule IE Individual, according to the exempt salaries concept, as
provided below:
A. Public employees' wages for overtime worked during emergency situations under Act 324-2004 - Transfer this amount to Part II, line 8, Column
of Items Considered for the Home Mortgage Interest Limitation as well as to the Column of Items Subject to Alternate Basic Tax.
B. Exempt income paid to a Puerto Rico Police member under Section 1031.02(a)(34) of the Code - Transfer this amount to Part II, line 7, Column of Items
Considered for the Home Mortgage Interest Limitation.
C. Stipends received by certain physicians during the internship period under Section 1031.02(a)(9) of the Code - Transfer this amount to Part II, line 6,
Column of Items Considered for the Home Mortgage Interest Limitation.
D. Compensation paid to an eligible researcher or scientist for services rendered under Section 1031.02(a)(26) of the Code or Section 2022.05 of the
Puerto Rico Incentives Code - Transfer this amount to Part II, line 9, Column of Items Considered for the Home Mortgage Interest Limitation.
E. Salary not over $40,000 per year under Section 1031.02(a)(36) of the Code - Transfer this amount to Part II, line 31, Column of Items Considered for
the Home Mortgage Interest Limitation.
F. Vacation and sick leave liquidation payment to public employees under Act 211-2015 - Transfer this amount to Part II, line 36, Column of Items Considered
for the Home Mortgage Interest Limitation.
G. Disaster payments declared exempt by the Governor of Puerto Rico or the President of the United States under Section 1031.01(b)(16) of the Code -
Transfer this amount to Part I, line 8, Column of Items Considered for the Home Mortgage Interest Limitation.
H. Payments to public employees under the Voluntary Transition Program - Transfer this amount to Part II, line 36, Column of Items Considered for the Home
Mortgage Interest Limitation.
I. Compensation or indemnification paid to an employee due to dismissal under Section 1031.01(b)(15) of the Code - Transfer this amount to Part I, line
7, Column of Items Considered for the Home Mortgage Interest Limitation.
J. Payments to professionals regarding hard-to-fill positions under Section 2022.03(a) of the Puerto Rico Incentives Code - Transfer this amount to Part II, line
32, Column of Items Considered for the Home Mortgage Interest Limitation.
Box 19 - Contributions to the Save and Double your Money Program - This amount cannot be transferred to any part of the income tax return, since it is excluded from
the wages.
PENALTY - According to the Code, every person required under any Subtitle of the Code to file a return, statement, certification or report, who willfully fails to file such return,
statement, certification or report within the term or terms established by the corresponding Subtitle or by regulations, in addition to other penalties provided by the Code, shall
be guilty of a misdemeanor, and upon conviction thereof, punished by a fine of not more than $5,000, or imprisonment for a term of not more than 90 days, or both penalties,
at the discretion of the Court, plus the costs of prosecution. In the case of any person who willfully fails to file such return, statement, certification or report (within the terms
established by the corresponding Subtitle or by regulations), with the intention to evade or defeat any tax imposed by the Code, in addition to other penalties provided by the
Code, shall be guilty of a third degree felony, and upon conviction thereof, punished by imprisonment for a fixed term of eight years. The Court may impose, at its discretion,
the fixed penalty of imprisonment provided or a fine of not more than $20,000, or both penalties, plus the costs of prosecution.
Keep copy of this form for your records. You can use it to prove your right to social security benefits. If your name, address or social security number is
incorrect, inform this to your employer and request a Form 499R-2c/W-2cPR, Corrected Withholding Statement.
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