Tax-Free Investment Activity In Dominican Republic, Tax Optimization, Tax-FRee Investment Properties, CONFOTUR

 Dear customers and visitors of our web site, we provide you with information on the possibility of implementing large investment projects with a 15-year exemption from all taxes, including income tax and the possibility of acquiring non-taxable real estate in Dominican Republic.

Who is this information for: 

–  investor working on investment projects.

– companies and individuals dedicated to tax optimization in ON SHORE areas.

– companies and individuals who acquire real estate for investment purposes with tax exemption.

General disposition: 

In accordance with the law (Law No. 158-01 from October 9, 2001) of 2001 and the decree of 2014 (Decree No. 372-14 from October 9, 2014) of the Tourism Development Council (Council of Fomento Turístico – CONFOTUR), with the objective of developing the tourism sector in Dominican Republic, establishes the incentives that will be granted, as a stimulus, to the projects and investments that contribute to the achievement of the identified objectives and goals.

Incentives / initiatives for companies and individuals with a projects that fall under the requirements of CONFOTUR

100% tax exemption for 15 years !!!:

 a) from INCOME TAX !!!!

b)  from national and municipal taxes for incorporation of companies, capital gains tax, national and municipal taxes for transfer over real estate rights, like a stamp duty and any other form of transfer over real estate rights , Tax on Luxury Homes and Unbuilt Plots (Impuesto sobre Viviendas Suntuarias y Solares no Edificados – IVSS). As well as the fees for the preparation of the plans, the studies, consultancies and supervision  of a constructions  to be carried out in the tourist project in question, the latter exemption being applicable to the contractors in charge of execution the works

c) from duty on import and other taxes and fee , including the Tax on Transfers of Industrialized Goods and Services (Impuesto a las Transferencias de Bienes Industrializados  – ITBIS), which may be applicable on the machinery, equipment, materials and personal property that are necessary for the construction and for the first equipment and commissioning of the tourist facility in question.

Investments / projects that may qualify for CONFOTUR incentives:

a) Investments made in the development of tourist activities, hotels and complementary offers, established in the “List of company activities for which CONFOTUR incentives / initiatives can be applied” – will benefit from one hundred percent (100%) of the established exemption regime.

b) Investments in the tourist activities indicated in Number 1 of the “List of company activities for which CONFOTUR incentives / incentives can be applied” of this law, corresponding to hotel facilities, resorts or hotel complexes in the existing structures will benefit from the one hundred percent (100%) exemption from the Tax on the Transfer of Industrialized Goods and Services (ITBIS) and other taxes that may be applicable on the machinery, equipment, materials, and personal property that are necessary for the modernization, improvement and renovation of said facilities, provided they have a minimum of five (5) years of construction.

c) The hotel facilities, resort  and/or hotel complexes in the existing structures that have a minimum of fifteen (15) years of construction that undergo a reconstruction or remodeling process that exceeds fifty percent (50%) of their facilities and whose final destination is hotel facilities, will benefit from one hundred percent (100%) of the exemption regime established in this law.

List of company activities for which CONFOTUR  incentives / incentives can be applied

1. Hotel facilities, resorts and / or hotel complexes.

2. Construction of facilities for conventions, fairs, international conferences, festivals, shows and concerts.

3. Companies dedicated to the promotion of cruise activities that establish, as the mother port for the origin and final destination of their vessels, any of the ports specified in this law.

4. Construction and operation of a musement parks and / or ecological parks and / or theme parks.

5. Construction and / or operation of port and maritime infrastructures serving tourism, such as yacht marinas.

6. Construction and / or operation of tourist infrastructures, such as aquariums, restaurants, golf courses, sports facilities and any other that may be classifiable as an establishment belonging to tourist activities.

7. Small and medium-sized companies whose market is mainly based on tourism (handicrafts, ornamental plants, tropical fish, breeding farms for small endemic reptiles and others of a similar nature).

8. Basic service infrastructure companies for the tourism industry, such as aqueducts, treatment plants, environmental sanitation, garbage collection and solid waste.

Paragraph: The exemptions agreed for the activities indicated in numbers 2, 3, 4, 5, 6, of this article, apply in the same way for tourist accommodation or other facilities or activities of any nature built or promoted to complement the themselves, such as, villas, plots, lots, apartments, moorings for boats, etc., sea that they operate by the promoters or developers or will sale to other individuals or companies, provided they are part of a classified project. (Added by Law 184-02).

Our proposal:

Given the great need of companies and individuals in highly profitable investment projects, tax optimization, our company propose:

– full assistance in a foundation of companies and investment projects  accordance with the requirements of CONFOTOUR.

– advice on tax optimization in  Dominican Republic.

–  proposal  of real estate in projects with CONFOTUR incentives / incentives  for our clients.

Please contact us for more information!