You use forms 499R-2/W2PR to provide the annual withholding statement to employees in Puerto Rico. The Puerto Rico Tax Department does not provide pre-printed forms and recommends using an outside vendor to print the W2's. Oracle Payroll provides a comma delimited output file which you may need to modify based on the specifications of the vendor or software you select to print the W2's.

Puerto Rico employees must be in a separate GRE from other employees. If employees are currently in a GRE that represents both the U.S. and Puerto Rico, you must define a new GRE. This GRE should have the parameter for tax jurisdiction defined as Puerto Rico in the W2 reporting rules.

Running this request set generates four output files:

• Puerto Rico Employee W2 Report (for informational purposes only)

  Note: Oracle does not support the Puerto Rico Employee W2 report output. Oracle supports only the 'paper' output for Puerto Rico and no online reporting is supported. See the Puerto Rico W2 Register Report below for details. If you are setting up the 'Self Service Preference for Person' extra person information (People > Others > Extra Information), then you must ensure that the Paper option for the W-2 document type must be set to Yes for the employee to be included in the W2 Puerto Rico Request Set output.

• Puerto Rico W2 Register Report (CSV format)

  Oracle provides a comma delimited extract that conforms to the PRSOFT specifications for Puerto Rico W-2s.

  Oracle Payroll supports reporting the following types of payments as well as the following Exempt Salaries amounts and codes in the Puerto Rico W2 Register Report as well as the Puerto Rico State W-2 Magnetic Media (EFW2) report:

  • Retirement Fund

  • Allowances

  • Commissions

  • Tips

  • Reimbursed Expenses*

  • Pensions*

  • Exempt Salaries:

    • Code A: Public employees' wages for overtime worked during emergency situations under Act 324-2004.

    • Code E: Salary not over $40,000 per year under Section 1031.02(a)(36) of the Code (Employees between ages of 16 and 26).

  *Note: Reimbursed Expenses and Pension amounts are only reported in the Puerto Rico W2 Register Report output; they are not included in the Puerto Rico W-2 State Magnetic Media report.

  To report the above required wage amounts including the Exempt Salaries and applicable code on the Puerto Rico W2 Register Report and the PR W-2 State Magnetic Media (where applicable) for any applicable employees, you must perform manual balance adjustments to populate the applicable balances.

  The following table maps each balance to the corresponding column in the Puerto Rico W2 Register Report:

  Balance	Column in the Puerto Rico Employee W2 Report
  Territory Retire Contrib	Retirement Fund
  Territory Taxable Allow	Allowances
  Territory Taxable Comm	Commissions
  Territory Taxable TIPS	Tips
  Territory Reimb Expenses	Reimbursed Expenses
  Territory Pension Annuity	Pension
  PR W2 Exempt Salaries*	Exempt Salaries (Code A): Public employees' wages for overtime worked during emergency situations under Act 324-2004.
  PR Youth Exempt Wages*	Exempt Salaries (Code E): Salary not over $40,000 per year under Section 1031.02(a)(36) of the Code (Employees between ages of 16 and 26).

  *Note: Only Exempt Salaries, Code A (Public employees' wages for overtime worked during emergency situations under Act 324-2004) and Code E (Salary not over $40,000 per year under Section 1031.02(a)(36) of the Code (Employees between ages of 16 and 26)) are supported.

• Puerto Rico W2 Totals Report (HTML format)

• Puerto Rico W2 Exceptions Report (CSV format)

Run this request set from the Submit Request window.

   To run the W2 Puerto Rico Request Set:

1. In the Request Set field, select W2 Puerto Rico.

2. Click in the Parameters field for Puerto Rico Employee W2 Report program

3. Enter the reporting year and the GRE archived by year end pre-process for the report.

   Note: Only those GREs defined with the tax jurisdiction of Puerto Rico in the W2 reporting rules appear in the list. This list of GREs will not be the same as the list displayed for the Employee W2 report or the W2 Register.

4. Click in the Selection Criterion field, and choose one selection criterion.

   Note: This step activates the corresponding field on the Parameters window.

5. If you entered a value in the Selection Criterion field, in the corresponding field, enter a value.

   Note: Only assignments in the specified GRE are selected, regardless of what criterion you select.

6. Submit the request set, or alternately, select sort options for the report.

Puerto Rico Employee W2 Report

The Puerto Rico Tax Department does not provide pre-printed forms and recommends using an outside vendor to print the W2's. Therefore the output of the Puerto Rico Employee W2 report is not supported and is only provided for informational purposes.

Oracle Payroll provides a comma delimited output file, which you may need to modify based on the specifications of the vendor or software you select to print the W-2's. See Puerto Rico W2 Register below for details.

Puerto Rico W2 Register

The Puerto Rico W2 Register Report gives the details of the employees required for producing Puerto Rico W-2's. It produces a comma delimited output file (<FileName>.out) which you can find in the $APPLCSF/OUT directory. You can open and save this file as a text (<FileName>.txt) or .csv (<FileName>.csv) file. After saving the output, you can import it into an MS Excel spreadsheet for review or to make any changes. You can then use the .csv file to upload to third party software or to an external vendor to produce the Puerto Rico Employee W-2's. Refer to the Puerto Rican government's online list of preferred software and vendors.

Puerto Rico W2 Exceptions Report

Employees meeting the following conditions are included on the Puerto Rico W2 Exceptions Report:

• Employees with dollar amounts greater than the length of 13 (anything over 9.9 million).

• Employees with negative dollar amounts.

For employees appearing as an exception due to negative dollar amounts, you must:

1. Correct their balances.

2. Retry the Year End Pre-Process for those employees.

3. Rerun Puerto Rico W2 Request Set.

   Note: This rerun will include ALL employees, including the corrected employees.

Puerto Rico W2 Totals Report

The Puerto Rico W2 Totals Report includes the totals for all employees included in the Puerto Rico W2 Register Report. These totals are used for balancing purposes and can also be used for recording the totals on the applicable transmittal submitted with Form 499R-2/W-2PR.