Dominican Republic
Residency by Investment
The program may allow you to obtain an instant permanent residence permit by investing in movable or immovable property or bringing your regular passive income or pension to the country.
Permanent Residency must be renewed 1 year after its issuance. The other renewals must be made every 4 years.
Through the program, after 2 years of permanent residency you may be eligible for naturalization, provided that investment/income requirements are still met.
To become a citizen, you will have to be fluent in Spanish, as you are going to attend an interview with an official, where you will state the reasons why you want to be a Dominican citizen, while your knowledge about the country's values, traditions and culture, and your Spanish skills will also be tested.
Although there is no official physical residence requirement, it is recommended to spend significant periods of time in the country prior to naturalization, and to prove some ties to the country.
investment
Investor visa
You may obtain your permanent residence by investing US$200,000 in the country. The investment must be made according to the Foreign Investment Act No 16-95. It may take the form of contributing to the capital of a Dominican entity, a fixed term deposit, stocks or securities or even acquiring a real estate property. The amount includes direct dependents.The investment must have been registered with the Export and Investment Center of the Dominican Republic (CEI RD), or in the process of being registered.
The minimum investment may be lower for capital contributions to companies established in the Free Trade Zone, as well as for designated Government projects.
Requirements
- Do not suffer from a contagious disease or a mental illness that alters your behavior.
- Clean Criminal record.
- Letter signed before a notary by a Dominican or permanent resident alien in the Dominican Republic that guarantees that you will at no time be a burden on the Dominican State. In addition to the expenses of repatriation and others, if necessary evidence of an insurance policy might be required. This guarantee must include the dependents being included in the application.
- Certificate of Investor issued by CEI-RD (Export and Investment Center of the Dominican Republic).
- If you are a shareholder of the company, original and copy of the Act of the administrative board of the company.
- Bank letter stating that you have a bank account at a Dominican bank.
Restricted Nationalities
No nationality is officially restricted
dual citizenship
Dual citizenship is recognized in Dominican Republic. You are not required to renounce your previous nationality to become a citizen of Dominican Republic.
Documents Required
- Certified copy of passport
- Original or Certified copy of Birth Certificate (if applicable)
- Original or Certified copy of Marriage Certificate (if applicable)
- Original Police Clearance Certificate
- Evidence of Health Insurance
- Medical Certificate
- Nine passport-size photos
- Affidavit of support for Dependents
- dual citizenship Yes
- Family members included Yes
- land ownership Yes
- Physical residence required No
- Personal visit required Yes
- Language skills required No
- Interview required No
- Investment Single $200,000
- Investment Family 4 $200,000
- Minimum annual income -
- Time to citizenship 24
- Time to permanent residency 3
- Visa-free countries 56
- Financing available No
Benefits
citizenship benefits
permanent residency benefits
Fees
| processing fees main applicant | RD$ 1,500 |
|---|---|
| certificate issuance fee | RD$ 9,350 (over 16) RD$ 6,800 (under 16) |
| other fees | Medical Check: RD$ 3,160 (over 16), RD$ 2,140 (under 16) Stamp duty: RD$ 305 (over 16), RD$ 101 (under 16) |
| total fees main applicant | RD$ 14,315 |
| processing fees spouse | RD$ 1,500 |
| certificate issuance fee | RD$ 9,350 (over 16) RD$ 6,800 (under 16) |
| other fees | Medical Check: RD$ 3,160 (over 16), RD$ 2,140 (under 16) Stamp duty: RD$ 305 (over 16), RD$ 101 (under 16) |
| total fees spouse | RD$ 14,315 |
| processing fees dependents -18 | RD$ 1,500 (16-18) |
| certificate issuance fee | RD$ 9,350 (over 16) RD$ 6,800 (under 16) |
| other fees | Medical Check: RD$ 3,160 (over 16), RD$ 2,140 (under 16) Stamp duty: RD$ 305 (over 16), RD$ 101 (under 16) |
| total fees dependent -18 | RD$ 14,315 (16-18) RD$ 9,041 (under 16) |
| processing fees dependents 18-25 | RD$ 1,500 |
| certificate issuance fee | RD$ 9,350 (over 16) RD$ 6,800 (under 16) |
| other fees | Medical Check: RD$ 3,160 (over 16), RD$ 2,140 (under 16) Stamp duty: RD$ 305 (over 16), RD$ 101 (under 16) |
| total fees dependent 18-25 | RD$ 14,315 |
| processing fees dependents +65 | RD$ 1,500 |
| certificate issuance fee | RD$ 9,350 (over 16) RD$ 6,800 (under 16) |
| other fees | Medical Check: RD$ 3,160 (over 16), RD$ 2,140 (under 16) Stamp duty: RD$ 305 (over 16), RD$ 101 (under 16) |
| total fees dependent +65 | RD$ 14,315 |
Country details
It borders the Atlantic Ocean to the north, the Mona Channel to the east, which separates it from Puerto Rico, the Caribbean to the south. It shares a land border to the west with Haiti, which is the other country located on Hispaniola.
With 48,670 sq. km and a population of more than 10,785,000 inhabitants, it is the second largest and populated country of the region, after Cuba. Its capital is Santo Domingo and its official and most spoken language is Spanish. The currency of legal tender is the Dominican Peso (DOP), although the US dollar is involved in almost all commercial transactions, and together with the Euro, is widely accepted in most tourism avenues.
Visa Free Travel
Taxes
To be a tax resident in the Dominican Republic, you must reside for more than 182 days in a year in the country, continuously or not.
Income tax is levied on a territorial basis. This means that only local-source income is subject to taxation, whereas foreign-source income is usually exempt, except certain foreign-source investment income and financial gains, which may be subject to taxation.
However, new residents are fully exempt on taxes on foreign-source investment income and gains for their first three years of residency.
Personal income tax is levied at progressive rates up to 25% on annual income exceeding DOP833,171. Capital gains are treated as ordinary income, and shares and cash dividends are exempt, provided that a final withholding tax of 10% was applied on source.
Interests from Dominican banks and financial institutions are also exempt from taxation. Rental Income is treated as ordinary income.
The real property tax rate is 1% and it applies on the exceeding value of residential properties over DOP7.019 million. Transfer of real property is subject to a 3% tax on the transfer value.
Inheritance tax is levied at 3%, whereas gifts are taxed at a 25% rate.
V.A.T. is levied at rates between 13% and 18%, although certain goods and services are exempt.
Regarding corporate taxation, resident entities are subject to income tax on their income derived from Dominican sources. Foreign-source income is usually tax-exempt. The corporate income tax rate is 27%.
Dividends received are tax exempt provided that they were taxed on source. Capital gains are included in taxable income and taxed at standard rates. However, those from the disposal of shares may not be subject to taxation.
To learn more about Dominican Republic corporate legal framework, taxation and tax treaties, check out
incorporations.io/dominican-republic.
This should not be construed as tax advice. Flag Theory | Passports.IO has access to a global network of qualified attorneys and accountants who can give you the proper advice for your particular circumstances. Contact us for further information.
- Property tax Yes
- Transfer tax No
- Inheritance tax Yes
- Net worth tax No
- CFC law No
- Tax residency days 183
- Personal income tax rate 25%
- Capital Gains tax rate 27%
- Investment income tax rate 10%
- Territorial taxation Yes
Procedures
Flag Theory | Passports.IO and our qualified attorney in the Dominican Republic will handle all paperwork, and guide you through each step of the process to ensure that it is as fast, efficient and pain-free as possible.
First, our lawyers will conduct a due diligence check on you to ensure that you are eligible and meet the criteria to apply for the program, and that your application will be approved.
If required, we will incorporate your Dominican Republic company, and introduce you to several banks in order to open a bank account. We work primarily with banks that allow for remotely opened accounts, to ensure that you are ready to make the investment and apply for the visa as soon as possible.
Once the investment is made, we will proceed to get all required certifications from the CEI-RD.
We will send you the application forms and provide assistance to complete the questionnaires, and translate and authenticate documents.
You may apply for the visa in the foreign investment window of the General Directorate of Migration in Santo Domingo. You will have to undergo a medical check in a designated clinic.
Once your application is approved, you may apply for your permanent residency card, which will be issued within a maximum period of 45 working days.
After that you must apply for the Cédula (ID card). The whole process takes between 3-6 months.
For further information on the Dominican Republic residency by investment and detailed procedures, contact us for a free private consultation.