Are you contemplating a move abroad and wondering how to cease your tax residency in the Dominican Republic? Navigating the process may seem daunting, but with the right steps, you can ensure a smooth transition. Follow this guide to understand the necessary procedures to officially end your tax residency in the Dominican Republic.
Step 1: Departure Notification
Inform the Dirección General de Impuestos Internos (DGII) of your intention to cease tax residency. This notification must be submitted in writing and should include your departure date and new address abroad.
Step 2: Settle Outstanding Taxes
Ensure that all tax liabilities are settled before your departure. This includes any outstanding income tax, property tax, and other applicable taxes. Obtain a tax clearance certificate from the DGII to confirm that your taxes are paid in full.
Step 3: Deregistration from Local Entities
If you are registered with any local entities, such as the Social Security Treasury (TSS) or the National Health Insurance (SENASA), you must deregister from these systems. Provide them with your departure information and ensure there are no outstanding obligations.
Step 4: Close Dominican Bank Accounts
Close any bank accounts held in the Dominican Republic. Ensure that you have settled any outstanding balances and have transferred your funds to your new international account.
Step 5: Cancel Local Contracts and Subscriptions
Terminate any local contracts, such as rental agreements, utility services, and subscriptions. Provide the necessary notice to these service providers and settle any remaining payments.
Step 6: Update Personal Records
Update your personal records with the relevant authorities. This includes the DGII, TSS, and any other institution where your status as a resident is registered. Provide them with your new address and contact information abroad.
Legal References
- Ley No. 11-92, Código Tributario de la República Dominicana
- Ley No. 87-01, que crea el Sistema Dominicano de Seguridad Social
- Norma General No. 05-2019, sobre el Procedimiento de Cancelación de Matrícula y Cierre de Establecimientos ante la DGII
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