Is there a Law that regulates the Free Zones regime?

Export Free Zones are regulated by Law 8-90 of January 15, 1990, with the objective of promoting the establishment of new free zones and the development and growth of existing ones.

What are free zones in the Dominican Republic?

The free zone is defined as a geographical area of ​​the country subject to special customs and fiscal controls, in which the installation of companies that allocate their production or services to the external market is allowed, by granting the necessary incentives to promote their developing.

What are the incentives to invest in Free Zones?

The incentives are established in article 24 of Law 8-90. Free zone operators and the companies established within them are protected under the customs and tax regime and consequently receive 100% exemption on the following payments:

  1. The payment of income tax established by Law No. 5911, of May 22, 1962 and its modifications, referring to Share Companies.
  2. The payment of taxes on construction, loan agreements and on the registration and transfer of real estate as of the constitution of the corresponding free zone operator.
  3. Of the payment of taxes on the constitution of commercial societies or of increase of the capital of these.
  4. Of the payment of municipal taxes created that may affect these activities.
  5. Of all import taxes, duties, customs duties and other related charges, which affect raw materials, equipment, construction materials, parts of buildings, office equipment, etc., all of them intended to: Build, enable or operate in free zones.
  6. Of all existing export or re-export taxes, except those established in Sections f) and g) of Article 17 of the Law.
  7. Patent taxes, on assets or equity, as well as the transfer tax for industrialized goods and services (ITBIS).
  8. Consular rights for all imports for operators or companies in free zones.
  9. The payment of import taxes, related to equipment and utensils necessary for the installation and operation of economic dining rooms, health services, medical assistance, nursery, entertainment or, amenities and any other equipment that provides for the welfare of the working class .
  10. The payment of import taxes on transport equipment that are cargo vehicles, garbage collectors, minibuses, minibuses for the transport of employees and workers to and from the work centers prior approval, in each case of the National Council of Export Free Zones. These vehicles will not be transferable for at least five (5) years.

What is the procedure to establish a company within Free Zones? How long is the process? Which institution grants the permit?

The procedure lasts approximately 30 days from the date the required documents are received. The operating permit is granted by the National Council of Export Free Zones, which is the entity that regulates and supervises the operations of free zones in the Dominican Republic.

Is there a minimum wage in the sector?

The legal minimum wage is RD $ 10,000.00 (approximately US $ 210.00). However, the actual salary paid varies depending on the sector in which you are, the employee’s capacity, his technical preparation, among other factors.

Do foreign investors have access to credit and local financing?

Prior to Law 8-90, local financing was not available to foreign investors. Currently, Dominican individuals and institutions can give credit or financing to companies in free zones, subject to regulations of the monetary board.

Can I hire foreign employees?

Yes, any foreigner can work in the Dominican Republic regardless of their nationality; as long as you have a work permit in the country or Dominican residence according to the categories that we have established by law.

Av Mirador del Yaque
Santiago De Los Caballeros
Dominican Republic