In the Dominican Republic there are currently (as of 7/02/22) 48 financial intermediation entities, regularized in accordance with the guidelines of the Monetary Board of the Dominican Republic, of which 11 of these have a significant or total foreign shareholding.
Continue reading “Financial entities with foreign capital in the Dominican Republic.”
The sworn declaration of patrimony assets has its first foundation in article 146.3 of the Dominican Constitution, which establishes it as mandatory for “public officials (…) before and after having completed their functions or at the request of the competent authority.” Continue reading “Sworn Declaration of patrimony from Public Officials”
Commercial Arbitration is a procedure by which a dispute or controversy between two or more parties is known and submitted to the decision of a body constituted outside the ordinary courts.
Arbitration, as an alternative to dispute resolution, “constitutes a real alternative to prevent and adequately, quickly and definitively solve conflicts that arise in national and international trade transactions,” indicates Law 479-08 on commercial arbitration. Continue reading “Commercial Arbitration in the Dominican Republic”
REGISTRATION PROCESS FOR A FOREIGN COMPANY
The Dominican Republic, through the General Law of Commercial Companies, No. 479-08, grants foreign companies the opportunity to regularly perform trade acts in the country, or establish a branch office or permanent establishment in the national territory. Continue reading “REGISTRATION PROCESS FOR A FOREIGN COMPANY IN THE DOMINICAN REPUBLIC”
DUTIES OF TAXPAYERS
Inspired by the idea that there should be a dynamic relationship between the state and citizens, so that the latter receive an effective protection of their rights, through the continuous state of the provision of the necessary elements for a harmony in the society, the Dominican Republic considers taxation as a constitutional duty.
Are considered as taxpayers, the individuals and legal entities, from which a generating action is verified, according to the economic activities carried out or the assets posseds, thus generating the obligation to pay the taxes established by law, in proportion to the incomes or assets.
For the compliance of tax obligations, Law 11-92 establishes the duties of taxpayers, of which the following stand out:
Breach the tax obligation constitutes a default on the taxpayer, as established in article 26 of the tax code, without any requirement or any action from the Tax Administration.
The default will consist of the obligation to pay, together with the tax, a thirty percent (30%) compensation interest over the effective interest rate fixed by the Monetary Board, for each month or fraction of the month of default. This interest will accrue and pay until the total extinction of the obligation.
TAX INCENTIVES FOR FILMS IN THE DOMINICAN REPUBLIC
The Dominican Republic, determined to promote the development of the national cinematography filming activity, has Law 108-10, consisting of tax incentives for projects of this nature. Continue reading “TAX INCENTIVES FOR FILMS IN THE DOMINICAN REPUBLIC”
Dominican law accords equal treatment to domestic and foreign investment. Continue reading “FOREIGN INVESTMENT”
Foreign companies and/or individuals may conduct business in the Dominican Republic by setting up a Dominican Corporation.
Any company duly organized and existing in accordance with the laws of its country of origin can set up a branch in the Dominican Republic by registering at the Business Registry and obtaining a tax number from the Internal Revenue Agency. Additional approvals may be required in certain regulated industries.
Registration requires that (a) all incorporation documents of the foreign company be translated into Spanish and authenticated, (b) corporate minutes establishing a registered office in the Dominican Republic and naming a local representative, and (c) particulars of the local representative and the company’s shareholders.
Registration is not necessary if the activity of the foreign company is limited to acquiring equity in a local business entity or to occasional transactions in the Dominican Republic. Continue reading “Organizing your Business in Dominican Republic”