Friendly reminders from The Dominican IRS

Golo100

Bronze
Jan 5, 2002
2,138
56
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In case you didnt know, although we do not have an April 15 deadline for our taxes, there are a few things you should know:

1)Regulation 2-02 by the DGII(Direccion General de Impuestos Internos), everyone who has income from more than one source of retention must file a sworn declaration of income(ISR).

2)Regulation 1-02 for those who make a wonderful living out of NGOs, now your agency has to pay ITBIS, ISR and the 1.5% tax pre-payment on your gross income. If you conduct sales of items that compete with regular commerce, be prepared to be audited and harrassed. Fund raising activities will be closely watched. Ticket sales to events, raffles and things that raise income for your NGO will be scrutinized. The free ride is over.

3)Letters were sent to 9000 owners of luxury cars costing over $900,000 who do not show up in the National Taxpayers Registry(Registro Nacional de Contribuyentes). This means that to enjoy your brand new Range Rover or Mercedes you have to share information with the tax man as to the source of such wealth and justify the expense.

4)If you are in the habit of selling vehicles for a living and not paying taxes, you better cover your tracks pretty well. It is now illegal to sell vehicles as a business without having a license to sell. Heavy scrutiny is coming and be prepared to provide the list of luxury cars and their owners.

5)Some people dont know this...but if you own a property(house, apartment, empty lot) assessed over RD $1,400,000 you have to pay a yearly property tax to the government. This is the luxury bracket for properties, which is revised every year based on inflation. The way around this if you buy for investment is to buy two RD $700,000 properties instead of buying one that goes over the bracket. Always buy $100,000 to $200,000 below this bracket to be on the safe side. Your attorney can help you with other legal maneuvers which I will not get into. Take my word for it, Hipolito needs lots of money for his hungry PRD party members and he is going to squeeze everybody.
<<<<check with the DGII for your deadlines or read the papers.
TW
 

MommC

On Vacation!
Mar 2, 2002
4,056
7
0
dr1.com
You said it golo!!!

Thanks for the info....

Now for those of us who maybe know someone who is earning more than one pay check and not declaring the "excess" income from the second or third one (especially if paid incontado) should we be reporting this???
To whom???
 

AnnaC

Gold
Jan 2, 2002
16,050
418
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Tw. this is the kind of posts I enjoy reading from you. As I prepare mine and other people's Income Tax returns I was about to ask if Dominicans had to do the same every year.

I enjoyed that information
Thanks :)