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Dominican Republic VAT (ITBIS) Guide 2026

The Impuesto a la Transferencia de Bienes Industrializados y Servicios (ITBIS) is the Dominican Republic's value-added tax. The standard rate is 18%, with a 0% rate applied to exports, basic food staples, and medicines. A selective consumption tax of 28% applies to alcohol and tobacco products. Monthly returns are filed using Form C612 via the DGII portal.

ITBIS Rates 2026

  • Standard rate: 18% on most goods and services
  • Zero rate (0%): Exports, basic food items (rice, beans, milk, bread), medicines, medical equipment, books, and educational materials
  • Reduced rate: Not applicable — only standard and zero rates apply to ITBIS
  • Selective consumption tax (ISC): 28% on alcoholic beverages and tobacco products (in addition to ITBIS)

Registration Requirements

Businesses with annual gross revenue exceeding approximately DOP 2.0 million must register for ITBIS with the DGII. Registration is done through the DGII online portal (dgii.gov.do). Upon registration, the company receives a Registro Nacional del Contribuyente (RNC) tax identification number.

Non-resident businesses providing digital services to Dominican consumers may also be required to register and charge ITBIS under recent digital economy provisions.

Monthly Filing — Form C612

Registered taxpayers must file ITBIS returns monthly using Form C612. The return covers all transactions in the preceding calendar month and must be filed by the 20th day of the following month.

  • Output ITBIS: 18% of taxable sales and services rendered
  • Input ITBIS: 18% of qualifying business purchases and expenses (creditable)
  • Net ITBIS payable: Output ITBIS minus input ITBIS credits
  • Excess credit: If input exceeds output, the excess may be carried forward to subsequent months or requested as a refund for exporters

Exemptions and Special Regimes

  • Free trade zones: 0% ITBIS on all transactions within the zone
  • Tourism (Law 189-11): 0% ITBIS on construction materials for qualifying tourism projects (PCT)
  • Film (Law 108-10): 0% ITBIS on film production inputs
  • Financial services: Certain banking and insurance services are exempt from ITBIS
  • Rental of residential property: Exempt from ITBIS

Penalties for Non-Compliance

Late filing or underpayment of ITBIS results in penalties of 10% of the tax due, plus monthly interest of 1.1% (approximately 13.2% per annum). The DGII may also suspend the RNC for chronic non-compliance, effectively preventing the business from issuing valid invoices.

Disclaimer

This guide provides general information about Dominican Republic ITBIS for the 2026 tax year. Tax laws and rates may change. Always consult with a qualified Dominican tax advisor or the DGII directly for advice specific to your situation. InvestmentKit does not provide tax advice.