Good News for Importers

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dominican republic shipping containerSANTO DOMINGO - At the beginning of January 2010, vehicles and a large number of items that arrive into the Dominican Republic from the United States and some nations of Central America will pay zero duties, and it is expected that the benefits of this new import status will be passed on to consumers.

 

According to an information sheet from the Ministry of Industry and Commerce and the Department of Customs, the country will receive a large amount of duty free merchandise (or tariff free) in addition to the goods that are already in Basket "A" that pay zero tariffs, as long as they are from countries that are part of the DR-CAFTA Free Trade Agreement.

Amoung these goods that will begin to receive the benefits of the zero rate at the moment of the arrival are poultry, fish, shellfish, vegetables, fruits, processed foods (such as jellies and baby food), soaps and items of personal hygiene (such as toothbrushes, hair brushes and detergents)

Also included is packing material, special purpose shoes and boots, such as security boots and shoes, chemical products, electronic apparatus such as cameras and projectors, batteries, tyres, car parts, amoung other products. In addition to these products and merchandise, motor vehicles that are in the category of reduced taxation "X", will pay zero tariffs, since these have a flat normal tax of 20% and this has been steadily reduced since 2007.

In order for a product to qualify for the zero rates it has to have originated in the countries that are part of the agreement: The United States, Guatemala, El Salvador, Honduras, Nicaragua and Costa Rica.

Likewise, the importers must demonstrate that the imported goods comply with the regulations concerning origin that were established in the treaty and with the requirements that are therein established.

The goods that will benefit from these new rates are in Basket "B" and are part of 374 tariff sub-sections whose taxes are normally: 8%, 14% and 25%. The application does not include the VAT tax (ITBIS) and the Selective Consumer Tax. Vehicles have to pay the VAT taxes and the first license plate.

Read 309 times Last modified on Wednesday, 06 January 2010 20:35

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