Tourist Law CONFOTUR
The Dominican Republic, specifically the area of Punta Cana and Bayahibe – Dominicus (La Romana), has become one of the main destinations in the Caribbean, not only for travelers who love beaches and the Caribbean sun but also for investors or those people who are looking for a property as a second home.
The tourism development that has been experienced throughout the southeastern coastal zone has not only been encouraged by its beaches and paradisiacal landscapes, but also in government initiatives that promote tourism internationally and by granting significant tax benefits to investors of the sector.
The law of CONFOTUR and its benefits
We talked about the law of CONFOTUR or Law No.158-01 on “Promotion of Tourism Development”. This law is aimed at projects in tourist real estate destinations in order to encourage tourism development in the area.
Properties that are covered by the CONFOTUR Law are exempt from tax commitments that in other properties you should pay such as:
Transfer Tax on real estate rights (3% of the value of the property).
Property Tax (IPI). It is equivalent to 1% of the annual tax of the exceeding RD $ 7,438,197. That is, if you have several properties, they add up and only what that value adds will be exempt.
You, as a buyer, will be exempt from paying that 1% for the time determined by the approval of the law in that project, which is usually between 10 and 15 years.
It can be affirmed that when this law was constituted there was an important advance in the growth of the tourism and investment sector in the Dominican Republic, especially in the southeast area of Punta Cana and Bayahibe – Dominicus.
Contact us to know all our projects that benefit from the CONFOTUR Law.