VAT rates in Dominican Republic

Quick overview

Standard Rate	Reduced Rate	Other Rates
18%	16%	Zero-rated (0%) and exempt

The local name for VAT in Dominican Republic is Impuesto sobre Transferencias de Bienes Industrializados y Servicios (ITBIS for its Spanish acronym).

There are basically 2 VAT rates in Dominican Republic:

• Standard VAT rate is 18%
• Reduced VAT rate is 16%

Recent developments

For more information about (recent) rate change developments in Dominican Republic, please click HERE.

Standard rate: 18%

This rate applies for all transactions that take place in Dominican Republic, unless an exception applies (such as a reduced rate, the zero rate or an exemption, or a reason to treat the transaction as outside scope of VAT).

Reduced rate: 16%

• •Basic food products as sugar, coffee, butter, margarine, oils, yogurt and other dairy derivatives

Zero rate (0%)

• Exportation of goods

Exempt supplies

• Online Sale of E-Books

A global VAT/GST rate overview can be found here (note this is a work in progress).

This post was last updated on October 30, 2021.

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