Dominican Republic: Services provided by investment fund administrators exempt from VAT

The Dominican tax authority (DGII) in late January 2020 issued General Rule No. 02-2020 to amend the tax regime for investment funds and their administrators in the Dominican Republic.

The new rule includes the following:

• Services rendered by investment fund administrators are exempt from value added tax (VAT).
• Withdrawals of assets are not subject to the Dominican tax imposed on certain financial transactions (that is, the tax imposed on cheques and electronic transfers).

The guidance also addresses the requirements for the registration by investment funds with the DGII.

Read a February 2020 report [PDF 189 KB] prepared by the KPMG member firm in the Dominican Republic

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