IVSS/IPI Tax - how long the 'reprieve'?

Lambada

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Mar 4, 2004
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Having seen on DR1 News yesterday the suggestion that this tax (luxury tax on properties) could be increased, I thought I would visit DGII today to find out by how much. I know.........some of you were informed I was out chasing down my supply of Viagra but........no. :cheeky:

I found out that the President has called off tax increase FOR NOW as per today's DR1 News.
'Leonel revokes tax increase
The director of Department of Taxes (DGII), Juan Hernandez, has suspended, for the time being anyway, the raise in assessment values on real estate and in its table of reference for calculating the Tax on Property (IPI). He said he did so in response to a request from President Fernandez. The Dominican leader asked the official to wait until the end of debates at the National Unity Summit'.
Also in Listin
La Rep?blica - Leonel revoca plan de Direcci?n General de Impuestos Internos

So let me first of all confirm that if you go now to do your judicial declaration and get the paperwork for your first payment of IVSS/IPI, you should be paying what you paid last year - I certainly am. However, it became very clear that this was going to be short lived (first payment is due March 11th. but I got the distinct impression that the increase could be re-instated before then).

I discussed with the highest ranking official I could find, the question of whether the reassessment of RE values might be downwards & not upwards (see DR1 News piece about setting this in context of global property prices/values). You can imagine the look I got ;) but I didn't actually get an answer I could put weight on.

It therefore raises the issue as to whether residents should do it now (& lock in at last year's rate) or wait until nearer March 11th. and hope the reassessment is downwards whilst expecting it to be upwards.......if you follow my drift. I debated posting this in RE Forum but opted for Living as this tax affects residents of DR who own property above a certain value. Non-resident owners might not be able to just pop along to DGII in next week or so and doubtless make other arrangements to pay their IVSS/IPI.

Relevant DGII page (for those who do not know what this tax is about) is here:
http://www.dgii.gov.do/dgii/impuestos/Paginas/ivss.aspx

For anyone wanting a further smile you're welcome to check my public profile where someone has left me a billet-doux :) . I gather BushBaby has one too.