What is the CONFOTUR Law?
The CONFOTUR Law (Law No. 158-01) is a Dominican legislation aimed at promoting tourism development in underdeveloped or emerging areas of the country. It offers significant tax incentives to both local and foreign investors who develop, promote, or invest in tourism-related projects, including real estate.
The main benefits of the CONFOTUR Law include:
- Exemption from property transfer tax: Buyers are exempt from paying the 3% property transfer tax for properties covered under CONFOTUR.
- Exemption from annual property tax: Property owners benefit from a 1% annual property tax exemption for up to 15 years.
- Tax benefits for developers: Exemptions on income tax, import duties for materials and equipment, and other national and municipal taxes.
To enjoy these benefits, projects must be approved by the Tourism Promotion Council (CONFOTUR).
In summary, the CONFOTUR Law encourages tourism investment in the Dominican Republic by offering attractive tax incentives.
