Dominican Republic
Caribbean · DO · 2 treaties
What is the tax system in the Dominican Republic?
The Dominican Republic has a territorial tax system. Personal income is taxed up to 25%, corporate tax is 27%, and VAT is 18%.
Tax profile
| Corporate income tax | 27% |
| Withholding — dividends | 10% |
| Withholding — interest | 10% |
| Withholding — royalties | 27% |
| VAT / GST (standard) | 18% |
| Personal income (top rate) | 25% |
| Capital gains | 15% |
| Tax system | Territorial |
| Residency threshold | 182 days |
| Exit / departure tax | No |
| CFC rules | No |
| Transfer pricing | Oecd Aligned |
| Digital nomad visa | No |
| Digital services tax | none |
| Global minimum tax (Pillar 2) | None |
Common questions
- How long does it take to become a tax resident in the Dominican Republic?
- It takes 182 days to establish tax residency in the Dominican Republic.
- Does the Dominican Republic offer a Golden Visa?
- Yes, the Dominican Republic offers a Golden Visa with a minimum investment of $200,000 USD.
- What are the withholding tax rates for dividends in the Dominican Republic?
- The withholding tax rate for dividends in the Dominican Republic is 10%.
Tax residency
Easy to leaveWhat makes you a tax resident — and how hard it is to stop being one.
- More than 182 days in a fiscal year (continuous or not)
Official guidance uses a day-count test: once you stop meeting the 182-day threshold in a fiscal year, tax residency ends. The available official material does not indicate a citizenship rule, domicile tail, or exit tax for individuals.
Source: Dirección General de Impuestos Internos (DGII)
Tax treaty network (2)
In-force double-tax treaty partners. Treaty-reduced withholding (dividends / interest / royalties) shown where the official source publishes a rate; otherwise the country's statutory rate applies unless the treaty text provides a reduction.
| Partner | Div | Int | Roy |
|---|---|---|---|
| Canada | 10% | 10% | 18% |
| Spain | 10% | 10% | 10% |