The Dominican Republic is a nation on the island of Hispaniola in the Caribbean region and the most visited destination in this area. The capital Santo Domingo is the financial, cultural, political, commercial and industrial centre of the Dominican Republic, with the country’s most important industries being located within the city. Music and sport are very important in the country’s culture and reflects the lifestyle of the inhabitants. Population growth is a continuing problem in the Island nation of Dominican Republic.
Long known for agriculture and mining, the economy in the Dominican Republic is now dominated by financial services with tourism as the fastest growing sector. The free trade zone earnings is one of the main growth sectors in the economy. The Dominican Republic has a very advanced telecommunication system. Limiting factors remain perceived are the unemployment and inconsistent electricity supply.
Contracting in Latin America is not a simple task and has many on-costs for employers. Most in country tax laws do not recognise contractors per se, hence contract workers may need to be remunerated as employees, taxes withheld and paid to various city, state and federal governments, and reserve funds held for other entitlements until end of contract. Please contact CXC Global for professional advice on the specific legislation applying in the country in order to facilitate contractors and foreign nationals working in Dominican Republic. Forward planning is of the essence to optimize costs. Dominican Republic has entered into Double Taxation Treaties with other countries.
For foreign national contract workers, contracting in Dominican Republic, it would be wise to consult with CXC Global on the best way to structure, and how best to balance your taxation.
With our extensive experience and expertise in contractor management, and assisting organisations with their contingent workforce, CXC Global has the resources and solutions to manage the administration process associated with contracting in Dominican Republic, facilitating accounting services and administration, local tax calculations, social security registration, tax balancing and preparation of personal income tax return at the end of the tax year.