SANTO DOMINGO– The Dominican Republic's Internal Revenue Service (DGII) has set the price ceiling for low-cost housing at 4.8 million pesos, an increase of 7.82% due to inflation. Previously, the limit was 4.5 million pesos.
The details of the new measure are contained in the twelfth article of Resolution Number DDG-AR1-2023-00001 of the DGII.
The document states that "in order to comply with Law Number 189-11 on the Development of the Mortgage Market and Trusts in the Dominican Republic, dated July 16, 2011, taxpayers are informed that the maximum amount of the sale price of homes developed by low-cost housing trusts, so that purchasers can opt for the bonus, and the value exempt from the transfer tax, including homes of the Ciudad Juan Bosch Project, acquired with mortgage loans, which will govern for this year 2023, is the one indicated below: 4,852,211.2.".
Since November 2021, the maximum sale price for low-cost housing set by the authorities was 4.5 million pesos.
By 2011, the maximum sale price for low-cost housing established by the regulations was 2 million pesos.
With the aim of facilitating access to "decent housing" for families, Law 189-11 and its amendments, for the Development of the Mortgage Market and Trust in the Dominican Republic, establishes tax incentives for housing projects considered low-cost.
