is it true that legal fees in dominican republic is subject to a 16% service tax?

B

batich

Guest
Who pays this 16%?

Lawyer from his fee?

Or client, in addition to the fee?

Or they split?

Is there any law regarding this?
 

Robert

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Jan 2, 1999
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Client pays the fee. Ask if it's included or additional, just like you should at a hotel (room) or restaurant (food). Yes, it's the law, it's called ITBIS.
 

sunshine73

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Apr 5, 2006
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Its actually 26% ITs 16% ITBIS and 10% de ley. Like NY its 8.75% 3% state 3% city .75% local total 8.75%


good luck
sunshine
 

HOWMAR

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Jan 28, 2004
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Its actually 26% ITs 16% ITBIS and 10% de ley. Like NY its 8.75% 3% state 3% city .75% local total 8.75%


good luck
sunshine
The lawyers are bad, but you don't have to tip them also (10%). Only subject to 16% ITBIS
 

sunshine73

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Apr 5, 2006
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The lawyers are bad, but you don't have to tip them also (10%). Only subject to 16% ITBIS


Sorry lmao.......I meant in general......its like 26% Even my orange bill is subject 2 that extra 10%.......It depends on the law firm........Fabio do you charge the 26% or 16%??

sunshine
 

Robert

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Jan 2, 1999
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It should NOT depend on the law firm. By law they have to charge 16% ITBIS.
If a law firm is adding an additional 10% on top of ITBIS, post their details here and I will have the tax man pay them a visit and shut them down.

I always thought the 10% (ISC) tax was different to the 10% service charge added at restaurants.
 

A.Hidalgo

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Apr 28, 2006
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Its actually 26% ITs 16% ITBIS and 10% de ley. Like NY its 8.75% 3% state 3% city .75% local total 8.75%


good luck
sunshine

You indicate in NY its 8.75%. 3% state and 3% city and .75% local total is 6.75% not 8.75%.What happenened to the other 2%??????????:confused:
 

planner

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Sep 23, 2002
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IMF suggest to put this up to 18% - thats nuts. People will cheat more avoiding this tax and the income will get lower - not higher.

I agree Conchman. AND this will have a large negative effect on our competitive position in the tourism industry!
 

Fabio J. Guzman

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Jan 1, 2002
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18% ITBIS is just the beginning. I don't even want to comment on the rest of the tax "advice" given by the IMF to the Dominican government. It is as if they wanted an unstable D.R. They should go back and review their role in the Argentinian crisis of 2003.
 

planner

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It seems to be really easy for them to give advice with out considering all the ramifications to this country and the people.....
 

HOWMAR

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It seems to be really easy for them to give advice with out considering all the ramifications to this country and the people.....
No differnet than any bank telling a client "If you want a loan, you have to have an income to repay it".