DGII and ACIS sign cooperation agreement to facilitate the installation of tax solutions

DGII and ACIS sign cooperation agreement to facilitate the installation of tax solutions
Santo Domingo, January 30, 2014

The agreement will assist merchants by providing them tax credits and extended deadlines
Santiago, Dominican Republic – “We are grateful that the DGII has given us more than we demanded.”
The President of the Association of Traders and Industrialists of Santiago (ACIS – Asociación de Comerciantes e Industriales de Santiago), Sandy Filpo, summed up with those words the environment in which a cooperation agreement was signed this morning. The agreement will allow for the installation of tax solutions on those trade and service businesses in the region to which the tax control project applies.

The agreement establishes, among other things, that those taxpayers that are notified of non-compliance of tax payments in Santiago, in the case of tax solutions, they will only need to show documents demonstrating their affiliation to ACIS and start the process of regularization of their companies with the DGII, with the support and advice of the Internal Revenue Service, through an individual agreement between the taxpayer and the Tax Administration, for a mutually agreed period of time.

In addition, trade sectors such as pharmacies, hardware stores, furniture stores, restaurants, among others, grouped in the ACIS, will benefit from the tax credit which may be used to offset their investments in tax solutions made in 2013 or thereafter.

The fourth article of the agreement between the Internal Revenue and ACIS of Santiago indicates that the DGII will grant a tax credit to taxpayers in the supply and service trade sector that install tax solutions for the cost of the same deductibles in two years of Income Tax. This tax credit may be extended pursuant to investment and taxation for those cases in which the period granted might not cover the investment.

He added that taxpayers that have installed tax solutions in 2013 will be entitled to a tax credit of 100% on the cost of the equipment, and another one on their investment on the software. These are deductible in two years of Income Tax, under the same scheme. (In the case of the software, the offset percentage will depend on the type of solution and on the changes made in order to meet the requirements of Decree 451-08).

For his part the Director General of the Internal Revenue, Guarocuya Félix, thanked the leaders and the members of ACIS for their gesture of signing the agreement that will allow the implementation in line with the trade and services sector of this stage of the tax solutions project.

The agreement was signed at the headquarters of the Association of Traders and Industrialists of Santiago, by Guarocuya Félix, Director General of the Internal Revenue and Sandy Filpo, President of ACIS, in the presence of executives from the trade businesses of Santiago and officials of the DGII.