NewsWhore
02-03-2009, 05:10 PM
The director of Department of Taxes (DGII), Juan Hernandez, has suspended, for the time being anyway, the raise in assessment values on real estate and in its table of reference for calculating the Tax on Property (IPI). He said he did so in response to a request from President Fernandez. The Dominican leader asked the official to wait until the end of debates at the National Unity Summit.
Despite knowing that the values attached to real estate classified as luxurious or as unused urban lots or buildings have not been revised since 2005, Fernandez said that "we need to wait until the process of the working group dealing with the economy and competitiveness is finished."
Business sectors have said the appraisal is untimely, because many real estate property prices are inflated by the effects of the real estate bubble that has not left the DR unscathed. These sectors say the government should wait and see what effects the global financial and real estate crisis will have on property prices here.These sectors say the government should wait to see what effects the global financial and real estate crisis have on prices of property here.
The DGII director confirmed the request from the President, saying that it was in line with the spirit of the Unity Summit that is seeking a consensus on all major issues.
According to DR1 News yesterday, the tax director ordered a revision of the assessments on urban properties that serve as the base for the IPI, and even though the measure did not imply an increase in taxes, it did modify the baseline for the payment of the 1% tax on assets due to the fact that this works on the difference between the RD$5.0 million established as exonerated and the new value established by the property assessors.
More... (http://www.dr1.com/index.html#4)
Despite knowing that the values attached to real estate classified as luxurious or as unused urban lots or buildings have not been revised since 2005, Fernandez said that "we need to wait until the process of the working group dealing with the economy and competitiveness is finished."
Business sectors have said the appraisal is untimely, because many real estate property prices are inflated by the effects of the real estate bubble that has not left the DR unscathed. These sectors say the government should wait and see what effects the global financial and real estate crisis will have on property prices here.These sectors say the government should wait to see what effects the global financial and real estate crisis have on prices of property here.
The DGII director confirmed the request from the President, saying that it was in line with the spirit of the Unity Summit that is seeking a consensus on all major issues.
According to DR1 News yesterday, the tax director ordered a revision of the assessments on urban properties that serve as the base for the IPI, and even though the measure did not imply an increase in taxes, it did modify the baseline for the payment of the 1% tax on assets due to the fact that this works on the difference between the RD$5.0 million established as exonerated and the new value established by the property assessors.
More... (http://www.dr1.com/index.html#4)