Born in Arecibo, Puerto Rico, Toledo did his secondary studies at Colegio San José, received a Bachelor of Arts degree from the University of Florida in 1952 and a Bachelor of Laws from the University of Puerto Rico School of Law in 1955.

He was a First Lieutenant in the United States Army from 1956 to 1960 as a member of the Judge Advocate General's Corps, United States Army stationed at Fort Brooke in San Juan, Puerto Rico.

He was an Assistant United States Attorney for the District of Puerto Rico from 1960 to 1961, entering private practice in San Juan from 1961 to 1970.

He was confirmed by the United States Senate on November 25, 1970, and received his commission on December 1, 1970.

[1] In 1999, the Jose V. Toledo Federal Building and United States Courthouse at San Juan was named in his honor.