House Title Transfer to DR Corporation

Boowow

Member
Feb 5, 2015
49
0
6
Greetings and Happy New Year, DR1 Community.

I was wondering if any home owners in the DR have an opinion on if it is advantageous to transfer your Dominican house/property into a DR Corporation?

Under the impression could be advantageous for liability as well as estate transfer of home ownership to next of kin if they are named in the DR Cooperation. Thinking of transferring house & vehicles into corp ownership.

Interested in knowing if worth it for a small home - not a large villa with lots of land.

Please share your thoughts.
 

chico bill

Dogs Better than People
May 6, 2016
12,570
6,325
113
But then you have to hire a lawyer to file corporate paperwork every year
 

cavok

Silver
Jun 16, 2014
9,527
4,045
113
Cabarete
It does have the two advantages you mentioned. The downside is you have to file pasperwork and pay corporate taxes every year and, if you are a U.S. citizen, you have to declare the corporation on your IRS tax return and fill out the appropriate form.
 

retiree

Bronze
Jan 18, 2008
978
10
0
The annual taxes on a house held in a corporation are very very high. It was a benefit until a couple of years ago.
 

Fabio J. Guzman

DR1 Expert
Jan 1, 2002
2,359
252
83
www.drlawyer.com
A 1% annual tax is assessed on real estate properties owned by individuals, based on the cumulative value of all the properties owned by each individual as appraised by government authorities. Properties are valued without taking into consideration any furniture or equipment to be found in them.

For built lots, the 1% is calculated only for values exceeding 7,138,384.80 DOP (about $150,000). For unbuilt lots, the 1% tax is calculated on the actual appraised value without the exemption.

The real estate tax is payable every year on or before March 11, or in two equal instalments: 50% on or before March 11, and the remaining 50%, on or before September 11.

The amount of the exemption is adjusted annually for inflation.

The following properties are exempt from paying real estate tax: (a) farm properties; (b) homes whose owner is 65 years old or older, and has no other property in his or her name; and (c) properties owned by companies, which pay a separate tax on company assets.
Companies pay an annual 1% tax on company asset; however, the amount of tax on assets paid can be applied as a credit toward its income tax obligations.
 

Fabio J. Guzman

DR1 Expert
Jan 1, 2002
2,359
252
83
www.drlawyer.com
A 1% annual tax is assessed on real estate properties owned by individuals, based on the cumulative value of all the properties owned by each individual as appraised by government authorities. Properties are valued without taking into consideration any furniture or equipment to be found in them.

For built lots, the 1% is calculated only for values exceeding 7,138,384.80 DOP (about $150,000). For unbuilt lots, the 1% tax is calculated on the actual appraised value without the exemption.

The real estate tax is payable every year on or before March 11, or in two equal instalments: 50% on or before March 11, and the remaining 50%, on or before September 11.

The amount of the exemption is adjusted annually for inflation.

The following properties are exempt from paying real estate tax: (a) farm properties; (b) homes whose owner is 65 years old or older, and has no other property in his or her name; and (c) properties owned by companies, which pay a separate tax on company assets.


Companies pay an annual 1% tax on company asset; however, the amount of tax on assets paid can be applied as a credit toward its income tax obligations.