The Tax Agency (DGII) opened talks with Netflix, Uber, Airbnb, Spotify and other digital platforms about taxing them for their sales in the Dominican Republic. The director of the DGII Magín Díaz says there is no rush to set these taxes, and that they are looking into the best mechanisms to do so. He said that taxation estimates for these businesses have not been included in the 2020 National Budget.
He indicated that in some countries, the platforms have reached agreements with government entities to collect and remit certain local taxes. Other countries are collecting on individual transactions more directly, via credit card payments.
In some locations, Airbnb has made agreements with government officials to collect and remit certain local taxes on behalf of hosts. “Some countries already tax these platforms and we are looking at how to do it, studying the best mechanism to do it,” he said. He explained that in the case of Airbnb, the hotel sector has requested this as they see Airbnb as unfair competition.
Read more in Spanish:
N Digital
20 January 2020