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 Titling Your Property - Dominican Republic BusinessA benefit to titling under the name of a Dominican Republic business is that upon selling the property, the buyer avoids the property transfer tax fee, which is an incentive to the buyer. This is because the buyer is buying the shares in the company. The tax benefits to the business include allowing up to $85,000 per year in income that is not taxable. The cost to set up and register a Dominican Republic business by our attorney in the Dominican Republic, Carmen Jaquez, is $3,000. This cost includes attorney's fees and taxes. It typically takes three to four months to form a Dominican Republic business. Ms. Jazquez only speaks Spanish. We can also recommend the law firm of Troncoso y Caceres (http://www.troncoso-caceres.com) for setting up and registering your business. Our contact there is Jesus Troncoso at (809) 689-2158 ext. 239 (office) and jmt@troncoso-caceres.com. Mr. Troncoso speaks both English and Spanish. Note: Please be aware that there are costs associated with purchasing property in the Dominican Republic with a business. In addition to the cost of setting up and registering the business in the D.R., the business will have to pay a 1% annual property tax fee until title has been transferred to the business (this will mainly affect Phase II, for which the deslinde process is ongoing). Once the business owns property, it will not have to pay the 1% annual property tax fee because the land is outside of city limits. Finally, a new law effective in 2010 will require that businesses provide monthly accounting to the government at a cost of approximately $600 per year. |
