Americas

Dominican Republic

Corporate rate
27%
Top personal rate
25%
VAT / GST rate
18%
One-sentence summary Dominican Republic's corporate tax position: 27. Personal income tax: 25. VAT/consumption tax: 18.

Corporate Tax Rate

Dominican Republic's headline corporate income tax (CIT) rate is 27.

Personal Tax Rate

The headline personal income tax (PIT) rate is 25.

VAT / GST Rate

The standard VAT/GST (or equivalent consumption tax) rate is 18. Registration thresholds, zero-rated and exempt categories, and reduced rates vary by jurisdiction - see the source link below for the full detail on this jurisdiction.

Residency

The Dominican Republic taxes on a territorial basis: Dominican-source income is taxed regardless of residence, domicile, or nationality, while foreign-source income is generally exempt - except that individual residents are taxed on foreign investment and financial gains (with a three-year grace period for new residents before such foreign-source income becomes taxable). Business income tied to property, economic activity, or economic rights situated in the country is taxed regardless of where the participants are domiciled.

CFC Rules

The Dominican Republic has no CFC provisions - consistent with its territorial system, cross-border transactions within an international group are generally not targeted absent an asset, investment, or income-shifting concern tied to Dominican-source activity.

Thin Capitalization

The Dominican Republic applies a 3:1 debt-to-equity thin capitalization rule; interest expense deduction is limited above that threshold.

Treaty Network

The Dominican Republic has a remarkably narrow treaty network: only two comprehensive double tax treaties are in force, with Canada (1976) and Spain (2011). A Tax Information Exchange Agreement (TIEA) exists with the United States, and the Dominican Republic participates in the OECD's multilateral tax cooperation framework, though it does not participate in the Common Reporting Standard (CRS).

Source: PwC Worldwide Tax Summaries - Dominican Republic (secondary compilation, cited per jurisdiction). Rates last reviewed by PwC: 05 December 2025. Page last verified: August 07, 2026. General information only - confirm current rates and any specific position with a licensed advisor in this jurisdiction before relying on this page.