NewsWhore
06-18-2007, 06:00 PM
People who earn over RD$24,000 per month have no way of reducing their tax burden. The current rules do not allow them to deduct routine expenses like medical care or interest payments, normal deductions in other countries. Businesses, in contrast, are allowed to do so. According to Juan Hernandez, the head of Tax Department, during the 1980s such tax deductions were permitted but the IRS did not have the technological know-how for implementing these. Speaking at a roundtable discussion organized by the Young Entrepreneurs Association (ANJE), the tax boss said that the department now has the technology to do this but the Congress has to pass laws that will allow for such deductions. Oh well.
Matters will not get better for the middle class. License plate renewals are going to go up significantly, if the the Tax Department plan is approved. Vehicles five to ten years old will pay RD$3,000 for a renewal, and older vehicles will pay RD$1,500. New cars will be assessed on their value. A vehicle that costs RD$1.0 million will pay RD$10,000 for license places instead of the current cost of RD$2,700. Taxes on imports are supposed to be very heavy, says Listin Diario, with a US$60,000 vehicle getting hit with tariffs between 122% and 2,208% higher than previously charged. The renewals would be due this summer.
Meanwhile, the Tax Department (DGII) is reporting a 41% increase in tax receipts last month, a total of RD$13.37 billion. This increase was RD$3.3 billion more than last year and RD$443 million more than estimated. The press release says that income taxes increased by RD$3.7 billion more than estimated, a surplus of nearly 20%.
More... (http://www.dr1.com/index.html#7)
Matters will not get better for the middle class. License plate renewals are going to go up significantly, if the the Tax Department plan is approved. Vehicles five to ten years old will pay RD$3,000 for a renewal, and older vehicles will pay RD$1,500. New cars will be assessed on their value. A vehicle that costs RD$1.0 million will pay RD$10,000 for license places instead of the current cost of RD$2,700. Taxes on imports are supposed to be very heavy, says Listin Diario, with a US$60,000 vehicle getting hit with tariffs between 122% and 2,208% higher than previously charged. The renewals would be due this summer.
Meanwhile, the Tax Department (DGII) is reporting a 41% increase in tax receipts last month, a total of RD$13.37 billion. This increase was RD$3.3 billion more than last year and RD$443 million more than estimated. The press release says that income taxes increased by RD$3.7 billion more than estimated, a surplus of nearly 20%.
More... (http://www.dr1.com/index.html#7)