What are the Tax Benefits in the Dominican Republic?

By Easyco Updated October 10, 2026

The Dominican Republic uses tax incentives to attract investment in exports, tourism, energy and less developed regions. Here are the main regimes in 2026 and the general taxes they replace.

The general tax system

Corporate income tax: 27% of taxable profits.
ITBIS (VAT): 18% standard rate, with a reduced rate for some goods.
Dividends: 10% withholding.
Asset tax: 1% of assets, creditable against income tax.
Territorial principle: companies are taxed on Dominican-source income; residents are also taxed on some foreign financial income.

Tax incentives

Free trade zones (Law 8-90)

Companies approved by the National Free Zones Council (CNZFE) that export goods or services are exempt from income tax, ITBIS, import duties and other taxes for the period granted. Sales into the local market are allowed within limits and are taxed.

Border development (Law 28-01)

Industrial, agro-industrial and other companies set up in the border provinces with Haiti can receive broad tax exemptions for a fixed period.

Tourism (Law 158-01)

Tourism projects approved by the Tourism Promotion Council (CONFOTUR) in designated areas can receive exemptions from income tax, transfer taxes and import duties on equipment.

Renewable energy (Law 57-07)

Renewable power projects can receive import duty and ITBIS exemptions on equipment and income tax benefits.

Film industry (Law 108-10)

Film and audiovisual productions can access a transferable tax credit on local spending.

How to use an incentive

Each regime has its own application, approval body and ongoing reporting. The company must be formed and hold its RNC first, and benefits can be lost if the conditions are not met, so check eligibility before you invest.

Get help from Easyco

Easyco coordinates the company setup in the Dominican Republic up to the issue of the RNC, and supports companies afterwards with tax, accounting, payroll and company compliance, including a registered office address. Read how to set up a company in the Dominican Republic, or contact us to discuss your project.