Puerto Rico Is Part of US Territory: What Most People Get Wrong About Its Status

Puerto Rico Is Part of US Territory: What Most People Get Wrong About Its Status

It is a weirdly common occurrence at airports across the mainland United States. Someone hands over a driver's license from San Juan, and the TSA agent—bless their heart—asks to see a passport. This isn't just a minor travel hiccup. It is a symptom of a massive, nationwide misunderstanding about the fact that Puerto Rico is part of US territory and has been for well over a century. If you were born in Ponce or Bayamón, you are as much a U.S. citizen as someone born in Kansas or Ohio. No passport required. No green card needed.

So why is there so much confusion?

Part of it comes down to the terminology. We use words like "commonwealth" or "unincorporated territory," which sound vague and non-committal. But the reality is grounded in the 1898 Treaty of Paris. After the Spanish-American War, Spain essentially handed over the keys to the island, and the U.S. has held them ever since. Since 1917, via the Jones-Shafroth Act, every person born on the island is a natural-born citizen.

It's a strange, "in-between" existence. You have the blue passport. You use the U.S. Dollar. You follow federal laws. Yet, if you live on the island, you can’t vote for the President. It’s a relationship defined by "belonging to" but not being "part of" the union in a way that provides full political representation. Honestly, it’s complicated.

The 1898 Handover and the Insular Cases

You can’t talk about why Puerto Rico is part of US history without looking at the Supreme Court cases that basically invented the current status. These are known as the "Insular Cases." Back in the early 1900s, the court had to figure out if the Constitution "followed the flag." Basically, did people in these new territories get full rights automatically?

The answer the court gave was a resounding "not exactly."

They created a distinction between "incorporated" and "unincorporated" territories. An incorporated territory is on a path to statehood (like Hawaii or Alaska used to be). An unincorporated territory? Well, that’s a place that belongs to the United States but isn’t considered "integral." Because of these rulings, only "fundamental" constitutional rights apply to Puerto Ricans on the island. This is why you see differences in how federal programs like Medicaid or SSI (Supplemental Security Income) are funded there compared to the 50 states.

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It’s an old legal framework. Many scholars, like those at the American Civil Liberties Union (ACLU), argue these cases are rooted in a bygone era of colonial thinking. Yet, they remain the law of the land today.

Citizenship Without a Vote: The Reality of Representation

Here is the kicker that trips people up. If a Puerto Rican moves to Orlando, Florida, they can register to vote for President the next day. They have full representation. But as long as they reside on the island, they have no electoral votes.

They do have a representative in Congress, called a Resident Commissioner. Currently, that’s Jenniffer González-Colón. But she can’t vote on the final passage of legislation on the House floor. She can participate in committees and advocate for the island, but when the big "yes" or "no" buttons are pressed for a national law, her vote doesn't count.

This creates a massive disconnect. The U.S. government makes decisions on trade, defense, and federal spending that dictate life in Puerto Rico, but the people living there have no say in who sits in the Oval Office.

The Myth of the "Free" Ride: Do Puerto Ricans Pay Taxes?

You've probably heard someone grumble that Puerto Rico doesn't pay taxes. That is a half-truth that misses the forest for the trees.

It’s true that most residents of Puerto Rico do not pay federal personal income tax on income earned strictly within the island. However, they pay almost every other federal tax. This includes:

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  • Social Security taxes
  • Medicare taxes
  • Import/Export taxes
  • Federal commodity taxes
  • Payroll taxes

In fact, Puerto Rico contributes billions of dollars annually to the U.S. Treasury. In many years, the island has actually contributed more in federal taxes than several states, including Vermont and Wyoming. So, the idea that the island is a "tax haven" for its residents at the expense of the mainland is factually incorrect. It’s a unique fiscal arrangement, but it’s far from a free ride.

The Jones Act and the High Cost of Living

One of the most controversial aspects of why Puerto Rico is part of US maritime law is the Merchant Marine Act of 1920, better known as the Jones Act. This law requires that all goods transported by water between U.S. ports be carried on ships that are U.S.-flagged, U.S.-built, and U.S.-owned.

For a landlocked state, this doesn't matter much. For an island that imports about 85% of its food? It’s a massive financial burden.

Because U.S. shipping is significantly more expensive than international shipping, the cost of milk, cars, and construction materials in San Juan is often much higher than in Miami. When Hurricane Maria hit in 2017, the Jones Act became a focal point of national debate. Critics argued it slowed down relief efforts; proponents argued it’s necessary for national security and the U.S. maritime industry. Regardless of where you stand, it is a glaring example of how federal policy directly impacts the daily cost of living on the island.

Statehood, Independence, or Status Quo?

People often ask, "Why don't they just become a state?"

The answer is that the island is deeply divided, and the U.S. Congress hasn't exactly been rolling out the red carpet. There have been several non-binding referendums over the decades. In recent years, "Statehood" has gained the most votes, but these elections are often boycotted by those who prefer the "Commonwealth" status or "Independence."

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  • Statehooders argue that it’s the only way to get full voting rights and equal federal funding.
  • Commonwealth supporters (the "status quo" crowd) often want to keep the unique cultural identity and the specific tax exemptions the island currently enjoys.
  • Independentistas believe that Puerto Rico is a nation in its own right and should have full sovereignty, free from U.S. control.

The U.S. Congress has the ultimate power to change the status under the Territorial Clause of the Constitution. Until they act, the island remains in its current "territory" limbo.

Travel and Daily Life: What You Need to Know

If you are planning a trip, keep it simple. You don't need to exchange money. You don't need a special phone plan—most major carriers treat it like any other state, though you should check for "roaming" glitches.

The vibe is distinct. It is Latin American at its core—Spanish is the primary language, the food is mofongo-heavy, and the music is everywhere. But you will also see Walgreens, Costco, and Walmart. It is a hybrid culture. You’ll see the U.S. flag flying right next to the Puerto Rican flag (the monoestrellada).

One thing that surprises people is the "Act 60" crowd. These are wealthy mainlanders who move to the island to take advantage of massive tax breaks on capital gains. This has caused some local friction, as it drives up real estate prices in places like Dorado and Rincon, leading to fears of displacement for locals who don't have those same tax advantages.

Key Facts to Remember

  1. Citizenship: Everyone born in Puerto Rico is a U.S. citizen. Period.
  2. Travel: No passport is required for U.S. citizens traveling between the mainland and the island.
  3. Military: Puerto Ricans serve in the U.S. military at higher rates per capita than many states. They have fought in every U.S. war since World War I.
  4. Laws: Federal laws apply. The U.S. District Court for the District of Puerto Rico handles federal cases on the island.
  5. The Border: There is no "border" between the U.S. and Puerto Rico in the way there is with Mexico. It is a domestic flight.

Actionable Steps for Understanding the Relationship

If you want to move beyond the surface level of this topic, there are a few things you can do to actually understand the nuances of the island’s status.

  • Check your voter registration: If you are a Puerto Rican living on the mainland, ensure you are registered. Your vote is the only direct political voice the island's diaspora has in federal policy.
  • Research the Puerto Rico Status Act: Keep an eye on current legislation in D.C. There are ongoing efforts to create a federally recognized plebiscite that would finally force Congress to respect the island's choice between statehood, independence, or sovereignty in free association.
  • Support local, not just "Act 60" businesses: If you visit, spend your money at "paradores" (locally owned inns) and small eateries. The economic relationship between the mainland and the island is often lopsided; supporting local entrepreneurs helps keep capital on the island.
  • Clarify the passport myth: Next time you hear someone say they need a passport for San Juan, gently correct them. It sounds small, but it reinforces the reality of citizenship.

The relationship isn't perfect. It's actually pretty messy. But the bottom line is that Puerto Rico is part of the United States, and the millions of Americans living there are part of the national fabric, whether the rest of the country realizes it or not.