GST/ITBS question

Bonniemd

New member
Nov 17, 2004
3
0
0
Could somebody please tell me if there is such a tax in the Dominican Republic? I was told that there was and as of the past elections that the government had raised the tax from 14-16% to be implemented on all transactions including hotel bookings, user fees, food & beverages and tours. Was this a bs line given to me or was it the truth? I can't seem to find any info on it anywhere.
Hopefully, one of you residents can fill me in. Thanks in advance for the info!
Take Care & Keep Smiling!
 

ricktoronto

Grande Pollo en Boca Chica
Jan 9, 2002
4,837
0
0
ITBIS is on just about everything at various rates, too. 12% in hotels. Food varies, if you go to an upscale supermarket you may see all sorts of varied ITBIS amounts on the bill.
 

FarOut

New member
Jul 26, 2004
46
0
0
Hi Bonniemd,

you've been almost right. It used to be 12% and since last month or so it went up to 16%.

So long,
Stefan
 

ricktoronto

Grande Pollo en Boca Chica
Jan 9, 2002
4,837
0
0
Lechero said:
Are you actually correcting RickToronto?
Once an a**hole, always an a**hole I see.

If it went up to 16% that must have been since Labor Day when I paid 12% at the hotel. Even more reason to stay away with the peso and the prices triple and now a 25% increase in the taxes. I don't know how it affected variable ITBIS on foodstuffs but I guess they went up proportionately.

Not going back even Xmas this year, until things are stabilized.

NB: Faux pas. Insults lose the zing! when misspelled.
 

GringoCArlos

Retired Ussername
Jan 9, 2002
1,416
40
0
ITBIS was raised from 12% up to 16% effective 01 October 2004.

The rate doesn't vary, it's always 16%. There are a number of items that are exempt from ITBIS, primarily basic foodstuffs like eggs, rice, habichuelas, etc. The new government is trying to crack down and force all merchants to show the amount of ITBIS on each item on each reciept now, so they can see that it is being paid, adn so the buyer can see the ITBIS also.

Just another wonderful benefit of dealing with the a**holes from the IMF. They were the reason for the raise in the rate, as a requirement for a bailout.

Imagine their surprise if Leonel had actually listened to Fredric Emam Zade and dropped all taxes down to Fredric's proposal of 10/10/10 and then magically watched the economy go, go, go, and tax collections RISE.
 

Bonniemd

New member
Nov 17, 2004
3
0
0
GST question

Thanks guys for the replies! We own a timeshare in Cabarete and we just recieved a letter from the resort stating that they will need more come next year and I just wanted to verify it with the experts first that there was an increase in taxes(for user fees etc.) before forking over more money for next year. They have been known to try and get more than what's owing to them. LOL Big surprise !!! Again, thanks a heap!
 

ricktoronto

Grande Pollo en Boca Chica
Jan 9, 2002
4,837
0
0
A 25% increase in sales taxes is a sure way with the overvalued peso to attract visitors in droves.

Even in Canada the GST on hotels and purchases is refundable for visitors. SOmething fo rthe DR to consider.