Puerto Rican citizenship
In 1952, upon U.S. Congress approving the Constitution of the Commonwealth of Puerto Rico, also reaffirmed that Puerto Rican citizenship continued in full force. This was further reaffirmed in 2006 while the U.S. Senate probed into the President's Task Force on Puerto Rico's status. In 1953, U.S Ambassador Henry Cabot Lodge Jr., in a memorandum sent to the United Nations, recognized that "the people of Puerto Rico continue to be citizens of the United States as well as of Puerto Rico."
Taxation in Puerto Rico
The Commonwealth of Puerto Rico is a territory of the United States and Puerto Ricans are US citizens. However, Puerto Rico is not a US state. Because of this, only Puerto Rican residents who are government employees, and those with income sources outside of the territory, pay federal income tax. All other employers and employees pay no federal "income" taxes. However, residents of Puerto Rico and businesses operating in Puerto Rico do pay some federal taxes, and the commonwealth's government has its own taxes as well.