To amend the Internal Revenue Code of 1986 to allow elective payment of applicable credits to bona fide residents of and entities organized under the laws of Puerto Rico.

This bill allows Puerto Rico residents and entities (like public agencies, nonprofits, and electric cooperatives organized under Puerto Rico law) to electively apply certain tax credits to property used in Puerto Rico. It amends tax code rules to expand eligibility beyond mainland U.S. property, specifically adding Puerto Rico as a qualifying location for credit usage without requiring property to be in the 50 states. The key change removes a requirement that property must be located in the U.S. mainland, instead permitting credits for property predominantly used in Puerto Rico (a U.S. possession). These changes apply to property placed in service after the bill's enactment date.