Countries › Dominican Republic › Guide › 11. Real estate and land › Annual property tax (IPI) for owners

Annual property tax (IPI) for owners

Last verified: 2026-10-30 · Status: Stable

Individuals pay 1% a year on total real estate holdings above RD$10,695,494 for 2026, and trusts pay 1% on the full value. Companies are outside the IPI, but their real estate counts in the 1% asset tax. The exemption is per owner rather than per property, and non resident owners file the same way. DGII sets the value, and an owner can challenge it.

USD figures use the Banco Central de la República Dominicana reference selling rate of RD$60.9007 per US dollar for 29 October 2026, the latest row in its published rate file on the verification date, rounded to the cent.

Key facts

IPI rate	1 %DGII Guide 17, as of 2026-10-30 · in force
IPI exempt amount for individuals, 2026	10695494 DOPDGII Guide 17, as of 2026-10-30 · in force
IPI rate on housing	1 %DGII Guide 17, as of 2026-10-30 · in force

The rule

1. A 1% tax falls on the total real estate holdings of individuals, on the value set by Catastro Nacional. Taxed holdings are housing, non housing buildings and vacant urban lots. Furniture, equipment and rural farm land are outside the base.Ley 253-12, art. 13 and art. 14, restating Ley 18-88 art. 1 and art. 2 paragraph IV, 2012-11-09 official text · verified 2026-10-30

2. A lot counts as vacant if it has no formal legalized construction, or if buildings occupy under 30% of it.Ley 253-12, Ley 18-88 art. 2 paragraph II as restated, 2012-11-09 official text · verified 2026-10-30

3. For 2026, individuals pay 1% on the excess above RD$10,695,494 and trusts on the whole value. The figure adjusts yearly for inflation.DGII Guide 17 on IPI, 2026 edition, What is taxed and rate, 2026 official text · verified 2026-10-30

4. Taxed property is housing and property for commercial, professional and industrial use, plus urban lots built on or not.DGII Guide 17 on IPI, 2026 edition, What the tax covers, 2026 official text · verified 2026-10-30

5. Exempt in 2026: holdings below the threshold; the home of an owner aged 65 or more if that is the owner's only real estate; rural land in farming; Ley 158-01 property of first buyers who are individuals; low cost housing and public offering trusts.DGII Guide 17 on IPI, 2026 edition, Exemptions, 2026 official text · verified 2026-10-30

6. The return is due in the first 60 days of the year, with installments by 11 March and 11 September.DGII Guide 17 on IPI, 2026 edition, When it is paid, 2026 official text · verified 2026-10-30

7. An owner who disagrees files an inspection request with the local office, and can then seek reconsideration and a new appraisal or a Catastro valuation.
Cost to do it: Form filing; no fee stated in the guide.DGII Guide 17 on IPI, 2026 edition, Disagreement with the value, 2026 official text · verified 2026-10-30

8. Those admitted under Ley 171-07 pay 50% of the tax while their residence by investment is valid.Ley 171-07, art. 13, 2007-07-13 official text · verified 2026-10-30

9. The buyer answers for IPI or asset tax for periods after the discharge date. If no discharge occurs and the transfer tax stays unpaid, the seller stays liable.DGII Guide 18 on transfer and discharge of real estate, June 2025, Effects of discharge, 2025-06 official text · verified 2026-10-30

Worked example

An individual owns a RD$15,000,000 (about US$246,302.59) home and a RD$9,000,000 (about US$147,781.55) rental. Total RD$24,000,000 (about US$394,084.14), less RD$10,695,494, leaves RD$13,304,506 (about US$218,462.28). IPI is RD$133,045.06 (about US$2,184.62), half in March and half in September. The same assets in a company go into the 1% asset tax base.

Step by step

Register the property with the DGII form FI-DVB-011.
Check the DGII value through the online tool.
File in the first 60 days of the year.
Pay by 11 March and 11 September.

Common traps

The exemption applies once on total holdings, so a second property can push the first into tax.
Guide 17 still prints the old late payment figures of 10% then 4%. Ley 30-26 set 3% a month from 1 July 2026.
Trusts get no exemption, unless within the listed exceptions.
Asset tax for companies excludes rural land and farm property under Código Tributario art. 402. See taxes/asset-tax.

Sources

← Transfer tax and closing costsSelling property: tax on gains →

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