DoubleTaxationTaxes on salary: Dominican Republic preliminary data
How much income tax and social contributions are paid on a salary in Dominican Republic, what a sole proprietor and a company pay, and which special regimes exist. Preliminary data.
Preliminary data: headline rates from official sources and bulletins of international organisations, without reliefs or special rules; being refined.
Calculation for a gross salary of €60,000 per year
| Gross salary | DOP 4,469,302 ≈ €60,000 |
|---|---|
| Income tax | DOP 927,073 ≈ €12,446 |
| Employee contributions | DOP 212,986 ≈ €2,859 |
| Take-home pay | DOP 3,329,242 ≈ €44,695 |
| Employer contributions and payroll taxes | DOP 527,163 ≈ €7,077 |
| Employer's labour cost | DOP 4,996,465 ≈ €67,077 |
Only some of the country's direct taxes and levies are counted: income tax on wages and compulsory contributions. Not counted: property and real-estate taxes; taxes on dividends, interest and other investment income; inheritance and gift taxes; indirect taxes such as VAT, excise and customs duties.
Taxes for sole proprietors and companies
Tax and contributions on the profit for a year; expenses are 10% of revenue, the company pays its profit out to the owner. Reliefs and local taxes are not included.
| Annual revenue | €30,000 DOP 2,234,651 | €60,000 DOP 4,469,302 | €120,000 DOP 8,938,603 |
|---|---|---|---|
| Sole proprietor | DOP 365,791 18.2 % | DOP 868,587 21.6 % | DOP 1,874,180 23.3 % |
| Company | DOP 689,837 34.3 % | DOP 1,379,673 34.3 % | DOP 2,759,347 34.3 % |
| Sole proprietor · Régimen Simplificado de Tributación (RST), modalidad ingresos — personas físicas | DOP 198,192 9.9 % | DOP 533,390 13.3 % | DOP 1,203,785 15.0 % |
Special tax regimes
Incentivos especiales a pensionados y rentistas de fuente extranjera
For pensioners · rate 0.0 %
Who: Foreign-source pensioners (at least US$1,500 a month) and rentistas (at least US$2,000 a month) who take residence.
Qualifying pension or rent income is exempt, as are dividends and interest. Capital gains, property tax and some transfer taxes are cut by 50%.
Legal basis: Ley 171-07, arts. 2, 3, 10, 13, 14
Tax residence
The tax residence check does not cover Dominican Republic yet.
Assumptions
- Calculated with the OECD Taxing Wages methodology: income tax including local taxes plus employee social security; single person without children, tax year 2026, ECB rate of 2 January 2026.
- Exchange rate: 1 EUR = 74.488362 DOP (Banco Central de la República Dominicana — spot reference rate (selling), 2026-01-02) ↗
Sources
- DGII — Guía del Contribuyente No. 11, Retenciones del ISR (scale; 10% dividend withholding)
- TSS — Preguntas frecuentes (rates and topes from 01/02/2026)
- TSS — Resolución 01-2025 (salario mínimo cotizable and topes)
- SIPEN — Preguntas frecuentes (pension contribution rates; independent workers)
- DGII help centre — CA2581, ISR rate for legal persons
- DGII — Informe sobre el RST 2024
- Ministerio de Hacienda — Ley 171-07
- Banco Central RD — tasa de cambio de referencia (daily series)
Data checked: 2026-11-08. An indicative calculation for a typical case. Not tax advice.