Confotur Law

Law 158-01 or the CONFOTUR Law establishes certain tax benefits and incentives for real estate projects, shops and commercial activities in order to encourage investment in the tourist areas of the country.

The promoter and builder benefits from tax exemption on construction inputs, which makes the cost much more efficient and profitable, which, in turn, translates into a better price for the final consumer.

It also offers benefits for the first buyer of a property located in a project developed under the Tourism Development Promotion Law, as is the case with most projects in tourist areas of the Dominican Republic.

These benefits are:

1. Exempt from paying 3% of the value of the property for the registration and transfer of the property in your name (Transfer Tax on real estate rights)
2. Exempt from the annual payment of 1% of the value of the property Real Estate Property Tax (IPI). The time of this exemption can vary depending on the project and is usually between 10 and 15 years.

Consult your real estate agent to know all the benefits for you.