Countries › Dominican Republic › Guide
Doing business in Dominican Republic
A living guide: 0 pages, every rule cited to its norm, article, date and official text. Last verified 2026-10-30. Information summary, not legal advice.
Related: Dominican Republic country profile · live dashboard · central bank and release calendar · our posts on X
4. Entities and setup
- Choosing an entity in the Dominican Republic: S.R.L., S.A.S., S.A., E.I.R.L. or branch, compared on capital, owners, governance and cost
- Sociedad de responsabilidad limitada (S.R.L.) in the Dominican Republic: two to 50 partners, no minimum capital since 2019, quotas paid in full at formation and a three quarters vote for outside transfers
- Sociedad anónima (S.A.) in the Dominican Republic: RD$30 million authorized capital, 10% paid in, a board of three and a mandatory comisario de cuentas
- Sociedad anónima simplificada (S.A.S.) in the Dominican Republic: RD$3 million authorized capital, free internal structure, share classes and no public offering
- Empresa individual de responsabilidad limitada (E.I.R.L.) in the Dominican Republic: one natural person, a separate estate and no minimum capital in the law
- Branch of a foreign company in the Dominican Republic: registering in the Registro Mercantil, the RNC and the 10% tax on remittances to head office
- Company setup costs and timeline in the Dominican Republic: 1% tax until 2026, chamber fees by capital band, ONAPI name and RNC
- Beneficial ownership in the Dominican Republic: the 20% test, Annex D at the RNC, IR-2 annexes and the end of bearer shares
- Annual compliance for a Dominican company: meeting and report in 120 days, IR-2, asset tax, monthly DGII filings and registry renewal every two years
- Transformation, mergers and spin offs of Dominican companies: keeping the legal person, creditor rights and the Registro Mercantil
- Partnerships and participation companies in the Dominican Republic: nombre colectivo, comandita and the accidental company for joint projects
5. FX and capital controls
- FX and capital controls in the Dominican Republic: free convertibility, no prior approval and what still gets reported
- The Dominican FX market and exchange rate: how the reference rate works and where the peso stands
- Registering foreign investment in the Dominican Republic: ProDominicana certificate, free of charge in 15 working days
- Dividends out of the Dominican Republic: no prior approval, 10% withholding and a US$100 example
- Capital in and out of the Dominican Republic: contributions, repatriation and treaty protection for transfers
- Foreign loans into the Dominican Republic: no approval, a statistical report and the tax limits that matter
- Export proceeds and import payments in the Dominican Republic: no surrender rule, and the old free zone text to watch
- Foreign currency accounts and bank credit in the Dominican Republic: dollar deposits, the 25% cap and new risk weights
- Contracts and prices in foreign currency in the Dominican Republic: valid, payable as agreed, but the peso stays legal tender
- Foreign currency in Dominican tax and accounts: year end exchange differences and the DGII closing rates
- Hedging the peso: forwards, swaps and who may write them in the Dominican Republic
- Licensing an exchange agent or remittance business in the Dominican Republic: capital, approval and ongoing costs
- Cash in the Dominican Republic: US$10,000 at the border, US$15,000 reporting and banned cash payments
- FX penalties in the Dominican Republic: who enforces, fines up to RD$10 million and the reporting offences
- Investing abroad from the Dominican Republic: no exchange limit, but tax on foreign income and reporting
6. Taxes
- Tax system of the Dominican Republic: who collects what, the main rates in 2026 and what Ley 30-26 changed
- Corporate income tax in the Dominican Republic: 27%, the temporary 30% rate, returns and foreign income
- Asset tax in the Dominican Republic: 1% of taxable assets, credited against income tax
- Dividend withholding in the Dominican Republic: 10% final, the dividend account and a US$100 example
- Interest paid abroad from the Dominican Republic: 10% withholding and the deduction limit most people miss
- Royalties, software licences, online advertising and data storage paid abroad: the 15% rate since 1 July 2026
- Withholding on other payments abroad: 27% on gross, presumed income rules and technical assistance
- Domestic withholding in the Dominican Republic: new 15% rates on rent and services since 1 July 2026
- Income tax advance payments in the Dominican Republic: monthly today, new tiers from 2027
- ITBIS, the Dominican value added tax: 18%, 16% on listed goods, zero rated exports and monthly filing
- Selective consumption taxes in the Dominican Republic: alcohol, tobacco, vapes, telecoms, insurance and fuels
- Tax on checks and electronic transfers in the Dominican Republic: 0.2% since 3 July 2026
- Transfer pricing in the Dominican Republic: arm's length rule, DIOR, local and master files and penalties
- Thin capitalization in the Dominican Republic: the 3 to 1 interest limit and three year carryforward
- Tax losses in the Dominican Republic: five years, 20% a year and profit caps in years four and five
- Deductions and depreciation in the Dominican Republic: 5%, 25% and 15% categories and the coming accelerated regime
- Capital gains in the Dominican Republic: 10% on real estate for individuals, 27% for companies and offshore share sales
- Tax treaties of the Dominican Republic: Canada and Spain only, with rate table and how to claim relief
- Permanent establishments and branches in the Dominican Republic: when a foreign company is taxed and how
- Annual property tax in the Dominican Republic (IPI): 1% above RD$10,695,494 in 2026
- Real estate transfer and registration taxes in the Dominican Republic: 3% transfer tax and the end of the 2% tax
- Payroll taxes in the Dominican Republic: TSS rates, 2026 caps, INFOTEP and fringe benefit tax
- Personal income tax in the Dominican Republic: 2026 scale, the 2027 scale and foreign income
- Local and smaller business taxes in the Dominican Republic: waste contribution, vehicles, municipal charges and exit fee
- Customs duties in the Dominican Republic: 0% to 20% tariff, ITBIS at the border and courier rules
- Tax incentives in the Dominican Republic: regimes, terms and the new rule of one regime per activity
- Free zone taxation in the Dominican Republic: exempt exports, 3.5% on local sales and 5% for commercial zones
- Tax audits and disputes in the Dominican Republic: three year limit, 20 day appeal, tribunal and prompt payment
- Tax penalties in the Dominican Republic: 3% monthly surcharge, 1.10% interest and the amnesty to 31 December 2026
- Digital services tax treatment in the Dominican Republic: 15% withholding, no ITBIS collection on foreign platforms
- Simplified tax regime (RST) in the Dominican Republic: new limits pending regulation
- Inheritance and gift tax in the Dominican Republic: 3% on estates, 27% on gifts and new exemptions
- Electronic invoicing in the Dominican Republic: e-CF only from 1 November 2026 for large and medium taxpayers
- Dominican tax calendar for a company: monthly, yearly and one off dates in 2026 and 2027
7. Labor and employment
- Employing people in the Dominican Republic: what a new employer must do and what a worker really costs
- Employment contracts in the Dominican Republic: indefinite by default, narrow exceptions and no formal trial period
- Minimum wage in the Dominican Republic: four company sizes, sector tariffs and the 2026 tables
- Wages, tips and deductions in the Dominican Republic: how pay must be paid and what can come out of it
- Christmas salary and profit sharing in the Dominican Republic: the thirteenth month and the 10% profit bonus
- Working hours and overtime in the Dominican Republic: the 44 hour week, premiums and monthly reports
- Vacation and public holidays in the Dominican Republic: 14 or 18 days and the Monday rule
- Leave and family protections in the Dominican Republic: maternity, paternity, sick pay and dismissal shields
- Social security in the Dominican Republic: TSS contributions, caps, fines and pension portability
- Termination and severance in the Dominican Republic: desahucio, cesantía, dismissal for cause and resignation
- Contract suspension and workforce reductions in the Dominican Republic: the tools short of severance
- Unions, collective bargaining and strikes in the Dominican Republic
- Outsourcing and intermediaries in the Dominican Republic: when the client answers for the contractor's staff
- Business transfers and employer groups in the Dominican Republic: what a buyer inherits
- Remote work in the Dominican Republic: the 2020 telework resolutions
- Foreign workers in the Dominican Republic: the 80% rule, contract registration and migration fines
- Workplace safety and harassment in the Dominican Republic: committees, first aid and the new Penal Code
- Labor inspections, claims and penalties in the Dominican Republic: short deadlines, fast courts and fines in minimum salaries
- Domestic workers in the Dominican Republic: Convention 189, the 2022 resolution and the RD$13,000 minimum
- Apprentices, minors and internships in the Dominican Republic
- Disability hiring quota in the Dominican Republic: the 2% rule for private employers
- Labor reform tracker for the Dominican Republic: where the Código de Trabajo bill stands
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