TAX BENEFITS: Puerto Rico’s strategic location, status as a US jurisdiction and generous tax incentives make it an ideal base for entities that provide services to clients outside of Puerto Rico. 4% maximum corporate tax rate Dividends and distributions from earnings and profits are tax exempt for Puerto Rico residents Certain investment income also qualifies for 4% tax rate 60% exemption on municipal gross receipts tax Exemptions guaranteed for 20 years, renewable for 10 more under certain conditions ACT 20: Fully compliant with US Other service exporters already using incentives to grow business and profits Tax guaranteed for 20 years, renewable for 10 more under certain conditions Incentives granted in Tax Exemption Decree — a binding contract with the Government of Puerto Rico Tax Incentives to Promote Export Services in Puerto Rico No federal taxes on Puerto Rico-sourced income until repatriated Highly qualified professional workforce educated and trained to US standards Easy access to US and Latin America For more information on the various incentives provided under the Puerto Rico laws, please visit WWW.BUSINESSINPUERTORICO.COM

Individual Investors Act TAX BENEFITS REQUIREMENTS Passive Income Exemption New residents will enjoy a 100% tax exemption from Puerto Rico income taxes on all dividend and interest income. Capital Gain Exemptions All capital gains accrued after becoming a new resident will be 100% exempt from Puerto Rico taxes. These gains will not be subject to federal taxes. Available to new residents who have not lived in Puerto Rico over the 6 years preceding the effective date of Act 22 (January 16th, 2006 to January 16th, 2012). Residency requirement: 183 days in Puerto Rico In addition, the individual investors shall comply with the requirement of Section 937 of the U.S. Internal Revenue Code ACT 22: Individual Investors Act Tax exemptions under Act 22 are valid through December 31, 2035. For more information on the various incentives provided under the Puerto Rico laws, please visit WWW.BUSINESSINPUERTORICO.COM

ACT 73: TAX BENEFITS TAX CREDITS 4% Corporate income tax rate for manufacturing & related activities (12% withholding tax on royalty payment) 50% tax credit with for eligible research and development activities 90% exemption for 15 years on real and personal property taxes 60% exemption on municipal license tax 100% exemption on dividends distribution 12% tax deduction for royalties paid to foreign entities with respect to intangible property used in the exempt business. Access to US Government contracts and ability to use “Made in USA” label 25% tax credit on purchases of products manufactured in Puerto Rico 35% tax credit on purchases of products manufactured in Puerto Rico made from recycled materials Tax credits for job creations (ranges from $1,000 - $2,500 per job created) 50% tax credit on eligible research and development activity costs ACT 73: Economic Incentives for the Development of Puerto Rico For more information on the various incentives provided under the Puerto Rico laws, please visit WWW.BUSINESSINPUERTORICO.COM

ACT 399: ELEGIBILITY & PROCESS TAX BENEFITS $1.2 million tax exemption on net –income. 4% over $1.2 million Exemption from premium taxes. Exemption on dividends and other profit distributions made by the International Insurer and International Insurer Holding Company. Exemption on municipal franchise, real and personal property taxes. Exemption to the International Insurer and qualifying International Insurance Company from withholding taxes on payments of dividends and other profit distributions made to third parties, and from filing tax returns with the Puerto Rico Internal Revenue Service. Isolation of the proceeds and benefits paid by international insurers from state and donation taxation procedures. International insurers are licensed on a class basis depending on the type of risk and each class has different capital and surplus requirements. Guaranteed tax treatment for an initial period of 15 years, Renewable for two additional 15-year periods. International insurance entities have various alternative ways to organize and operate within the IIC. These options include operating as an international insurance holding company, as an international insurer or a branch of an international insurer, and protected cell arrangements. ACT 399: INTERNATIONAL INSURANCE CENTER ACT For more information on the various incentives provided under the Puerto Rico laws, please visit WWW.BUSINESSINPUERTORICO.COM

ACT 273: ELEGIBILITY & PROCESS TAX BENEFITS 4% Corporate income tax rate eligible activities 100% exclusion on interests, financing charges or participation in partnership benefits; which will not be considered income from PR sources, therefore not subject to taxation or withholding provisions for non-PR residents 100% exemption on real and personal property taxes if property belongs to IFE 100% exemption on municipal license tax 100% exemption on dividends distribution 6% fixed income tax rate on dividends and pro-rate share of benefits of the corresponding International Financial Entity (“IFE”) for shareholders or partners of an IFE that are residents of Puerto Rico File an application for a permit with the Office of the Commissioner of Financial Institutions, pay a non-refundable application fee of $5,000 Once a permit is issued, the IFE may be organized subject to the following requirements: The amount of its authorized capital stock shall not be less - than $5 million and at least $250,000 shall be fully paid at the time the license is issued The IFE shall employ a minimum of 4 persons Once the IFE is organized and the Commissioner receives the organization certification by the Puerto Rico State Department, the IFE may apply for a license. ACT 273: INTERNATIONAL FINANCIAL CENTER ACT For more information on the various incentives provided under the Puerto Rico laws, please visit WWW.BUSINESSINPUERTORICO.COM