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Ease of Doing Business in

Dominican Republic

Dominican Republic Download Profile (1773.7KB, pdf)
Region Latin America & Caribbean
Income Category Upper middle income
Population 10,528,391
GNI Per Capita (US$) 6,130
City covered Santo Domingo

190

1

DB 2017 Rank

1

100

DB 2017 DTF (% points)

  • local_library
  • group
Topics DB 2017 Rank DB 2016 Rank info_outline Change in Rank DB 2017 DTF (% points) info_outline DB 2016 DTF (% points) info_outline Change in DTF (% points) info_outline
Overall 103 103
0
59.35 59.08 down
0.27
Starting a Business 115 108 down
7
83.34 83.12 up
0.22
Dealing with Construction Permits 45 44 down
1
75.20 75.01 up
0.19
Getting Electricity 148 151 up
3
52.18 50.58 up
1.60
Registering Property 82 83 up
1
65.61 65.17 up
0.44
Getting Credit 101 97 down
4
45.00 45.00
-
Protecting Minority Investors 87 85 down
2
53.33 53.33
-
Paying Taxes 129 131 up
2
60.70 60.33 up
0.37
Trading across Borders 58 56 down
2
83.51 83.51
-
Enforcing Contracts 131 129 down
2
51.03 51.03
-
Resolving Insolvency 160 160
-
23.55 23.70 down
0.15

Positive=Doing Business reform making it easier to do business. Negative=Change making it more difficult to do business.

DB 2017 Rank: 115

DB 2016 Rank: 108

Change in Rank: down7

DB 2017 DTF (% points): 83.34

DB 2016 DTF (% points): 83.12

Change in DTF (% points): up0.22

Standardized Company
Legal form: Sociedad de Responsabilidad Limitada (SRL)
Paid-in minimum capital requirement: DOP 100,000
City: Santo Domingo
Indicator Dominican Republic Latin America & Caribbean OECD high income
Procedure – Men (number) info_outline 7.0 8.3 4.8
Time – Men (days) info_outline 14.5 31.6 8.3
Cost – Men (% of income per capita) info_outline 16.3 31.5 3.1
Procedure – Women (number) info_outline 7.0 8.3 4.8
Time – Women (days) info_outline 14.5 31.6 8.3
Cost – Women (% of income per capita) info_outline 16.3 31.5 3.1
Paid-in min. capital (% of income per capita) info_outline 36.5 2.3 9.2
  • No. Procedure Time to Complete Associated Costs
    1

    Check company online

    Agency: ONAPI (Oficina Nacional de la Propiedad Industrial)

    With the introduction of the virtual portal the applicant can search and pay for a fee of DOP 4,755 for its company’s name. Currently, the interested party may enter www.onapi.gov.do to check and purchase the name online.

    Since December 31, 2012, the cost for publication was unified with the cost to check and purchase the company’s name. This unification was due to article 114 of the Law no. 20 00 and article 74 of the Decree Law no. 326 06.
    Less than one day (online procedure) included in procedure 2
    2

    Purchase of the company name

    Agency: ONAPI (Oficina Nacional de la Propiedad Industrial)

    After the petition or request of the registration of a commercial or trade name is made the National Office of Industrial Property (ONAPI) has a time limit of five (5) business days to issue the Formal Certificate.
    Then, the company name announcement is published in a national circulation newspaper in about 10 days. The National Office of Industrial Property publishes the list of requested corporate names and their petitioners twice a month. After that publication, third parties may lodge protests within 45 days. The publication receipt suffices for the company to continue with subsequent simultaneous formalities.

    The publication can also be in the virtual portal of www.onapi.gov.do (oficina nacional de propriedad industrial-national- Intellectual Property). However, most companies do not use this online service.
    Since December 31, 2012, the cost for publication was unified with the cost to check and purchase the company’s name. This unification was due to article 114 of the Law no. 20 00 and article 74 of the Decree Law no. 326 06. 
    5 days DOP 4755
    * 3

    Payment of the incorporation tax

    Agency: National Agency of Internal Revenues (DGII)

    The relevant incorporation taxes are paid by certified check issued to the Collector of the Internal Revenue Department (Colector de Impuestos Internos), through online banking (BHD and Leon banks) or at the counter at Banco del Progreso. According to new Law of Eficiencia Recaudatoria (from April 1st 2007) the incorporation taxes have been unified and only one tax should be paid that accounts as 1% of the amount of the authorized capital. The incorporation tax can also be paid directly at the Internal Revenue Service office (Dirección General de Impuestos Internos) and Banco de Reservas. If the amount does not exceed DOP 10,000, it can be paid in cash.
    1 day (simultaneous with previous procedure) 1% of the capital
    4

    Register the company in the Chamber of Commerce and obtain the identification number (RNC) online

    Agency: Chamber of Commerce

    The company is registered at the Chamber of Commerce of the domicile of the company. In Dominican Republic the domicile of the company is where the effective center of administration and management of the company is located.

    The following documents have to be filed at the Mercantile Registry at the Chamber of Commerce:
    - Bylaws properly signed;
    - General Constitutive Assembly with its corresponding list of presence of Associates;
    - List of the distribution of each of the associate’s investment to the company and their corresponding amounts of corporate quotas;
    - Application Form for registration of Limited Liability Company, duly completed and signed by the authorized manager or agent (must attach original power of attorney, if applicable).
    - Association Partnership Agreement;
    - Receipt of payment of incorporation taxes;
    - Photocopies of identity card;
    - Copy of Business Name Registration issued by the National Office of Industrial Property (ONAPI).

    In December 2013, the Chamber of Commerce made company registration available online at http://www.formalizate.gob.do/. This electronic method of registration is not yet widely used in practice, but it is available to business entrepreneurs in Santo Domingo.
    5 days DOP 12,000
    5

    File for the National Taxpayers Registry at the Internal Revenue Service (DGII) and apply for fiscal receipts

    Agency: General Agency of Internal Revenue (Dirección General de Impuestos Internos)

    According to Decree 254–06, companies that render services or whose operations require the transfer of goods must issue receipts with a fiscal number (numero de comprobante fiscal). The application can be made online. Within 5 working days, the Internal Tax Directorate must analyze the information and notify the taxpayer (either physically or electronically) of the administrative resolution of the authorization to issue the fiscal receipts.

    Even in the case that the application for the National Taxpayers Registry is made online, through the Internal Revenue Service’s webpage, physical documents still need to be filed at the Internal Revenue Service. Additionally, even if the incorporation is undertaken via the virtual portal www.creatuempresa.gob.do, physical documents still need to be filed both at the Mercantile Registry and the Internal Revenue Service.
    2 days no charge
    6

    Register local employees with the Department of Labor

    Agency: Department of Labor

    Forms DGT-3 must be completed within the first week of employment. The following forms, found at the local Department of Labor office, must be filed: a list of permanent personnel and employee work schedules and vacation periods.
    This procedure can be completed only once the taxpayer's identification number has been obtained.
    2 days DOP 500
    * 7

    Register employees at the Social Security Office (Tesorería de la Seguridad Social)

    Agency: Social security office (Tesorería de la Seguridad Social)

    The company shall registered and file the list of its employees at the Social Security National Treasury (Tesorería Nacional de la Seguridad Social, TNSS), a dependency of the main social security office (Consejo Nacional de Seguridad Social, CNSS).

    According to the Law 188-07 dated August 2007 the TNSS is under the obligation of updating the above mentioned percentages. Under Law 87-01, employers must register employees at the CNSS within 3 days of hiring them or upon the start of business. This procedure can be done online: http://www.tss.gov.do/ or at the Tesorería Nacional de la Seguridad Social.
    1 day (simultaneous with previous procedure) no charge

    * Takes place simultaneously with previous procedure.