Analysis – New TP Regulatory Framework
The current tax code provisions governing transactions between related parties in the Dominican Republic have been in force since 2006. In 2011, the Dominican Tax Authority, Direccion General de Impuestos Internos (DGII), issued General Standard 4/2011, establishing the rules and methods applicable to transactions between related parties.
In March 2014, Executive Decree No. 78-14 issued by the President of the Dominican Republic superseded General Standard 4/2011, providing detailed transfer pricing rules affecting transactions executed from FY2013 onward.
BaseFirma has prepared an article summarizes the principal contents of Executive Decree No. 78-14 into four topics: Domestic Transactions, Reporting and Documentation Requirements as required by the Tax Administration, Corporate Costs and Expenses Allocation, and Tax Havens.
Please find the article here.