Dominican Republic

E-invoicing mandate The e-invoicing landscape in the Dominican Republic has been simmering – and the country has finally delivered some tangible e-invoicing plans for mandate implementation in the country.   The Electronic Invoicing Law (Ley General de Facturacion Electronica) was enacted on 16 May 2023 and has imposed obligations on a wide scope of taxpayers, including all public and private entities who transfer goods and services.     The e-invoicing model is projected to be a post-clearance model, where invoices must be sent concurrently to the Directorate General of Internal Revenue (DGII) and buyers.     The roll-out of the mandate is expected to be via phased implementation, in line with the following:  

• Large national taxpayers: within 12 months of effective date  
• Large local and medium taxpayers: within 24 months of effective date  
• Small, micro and non-classified taxpayers within 36 months of effective date.  

 Entities are free to commence e-invoicing earlier if desired.    Latin America is currently hosting an exciting period where e-invoicing is projected to grow rapidly over the next few years. Kofax will keep you informed of the latest e-invoicing developments in the region. Specifically, you can refer to our dedicated country specific page for further information on e-invoicing in the Dominican Republic.   

Progress on e-invoicing mandate We have previously commented on the progress of e-invoicing in the Dominican Republic. The government has now issued fresh draft e-invoicing regulations. To become effective, the Draft law will need to enacted by the President of the Republic. We will keep you informed of developments in the Dominican Republic e-invoicing landscape.

VAT on foreign digital service providers The Dominican Republic has proposed an 18% tax for foreign digital service providers, following a consultation in August. This follows an increasingly prevalent global trend, where an increasing number of countries are proposing or implementing a tax on foreign digital service providers. The Bill will now pass to the Chamber of Representatives for consideration

E-CF documents update The Dominican Republic Tax Authorities have updated several of its e-CF ( Comprobantes Fiscales electrónicos) documents.  The updated documents can be accessed below:  https://dgii.gov.do/cicloContribuyente/facturacion/comprobantesFiscalesElectronicosE-CF/Paginas/documentacionSobreE-CF.aspx 

Renewed plans for mandatory e-invoicing The Dominican Republic had previously set out guidelines for mandatory e-invoicing in 2019- but these were not adopted at the time. The Dominican Republic’s General Directorate of Internal Taxes (Direccion General de Impuestos Internos (DGII) has now again issued fresh guidelines with the aim of delivering e-mandatory e-invoicing in the country. This appears to have been triggered by the e-invoicing trajectory which has been accelerating in neighbouring Latin American countries. The DGII favours a phased implementation of the e-invoicing mandate, in line with the following:

• 2023: large companies
• 2024: medium-sized companies
• 2025: small enterprises

E-invoicing has been voluntary in the Dominican Republic since 2019.