The Director General of Internal Revenue (DGII), Luis Valdez, announced that starting in 2023, it will be essential for businesses to issue invoices using Electronic Tax Receipts. Therefore, the agency is open to hearing proposals and solutions to make the necessary adjustments to the project.
Participating as a guest speaker in the virtual discussion organized by the American Chamber of Commerce of the Dominican Republic (AMCHAMDR), Valdez Veras said that the DGII launched a pilot plan for the issuance and use of electronic invoices. From August 2020 to date, 50.5 million electronic tax receipts have been issued.
“Currently, issuing electronic invoices is a voluntary process, but starting in 2023, it will be mandatory. No matter who heads the DGII, the future is electronic invoicing,” Valdez stated.
On the other hand, it was reported that tax collections between August 2020 and June 2021 achieved compliance greater than 100% every month, reaching an all-time high in April with a total of 68,796.9 million pesos, representing an increase of 154.5%.
Valdez Veras stated that there has been an improvement in compliance with the tax administration's main taxes, thanks to the digitalization of procedures and services, the full reopening of motor vehicle offices and local administrations, as well as the amendments to Law 46-20 on Transparency and Asset Revaluation.
The director of the DGII highlighted that an example of this is that in April of this year, the 60% (Taxpayer Identification Number) for Income Tax taxpayers filed their declaration voluntarily and on time, and that 6,109 more declarations were received that month compared to 2019.
Valdez Veras stated that due to the positive revenue collection performance in the first half of the year, a new Budget Bill was submitted with an estimate of 12.5% higher than the current target, which projects the DGII's revenue collection growth of 23.2%.
AMCHAMDR President advocates for incentives to formalize companies
The president of the American Chamber of Commerce of the Dominican Republic (AMCHAMDR), Roberto Herrera, advocated for the country to promote policies and incentives that allow more businesses to enter the formal system.
In his welcoming remarks at the AMCHAMDR Encounter, which featured Luis Valdez, Director General of Internal Revenue (DGII), as guest speaker, Herrera described the Central Bank's most recent National Continuous Labor Force Survey figures as worrisome. These figures show an increase in informal employment and a decrease in formal employment.
In this regard, the president of AMCHAMDR proposed supporting micro, small, and medium-sized enterprises, which make up the 98% of the country's business community, to boost the economy and restore jobs.
"While there are structural challenges and challenges we must overcome to promote a comprehensive economic recovery, I am certain that when we help people have secure employment, protected by the existing legal framework, we close the inequality gaps," Herrera stated, emphasizing the importance of companies also embracing digital transformation within their businesses.
On the other hand, the president of AMCHAMDR congratulated the National Salary Committee for approving minimum wage increases for workers at different scales, depending on the size of the company.
About the American Chamber of Commerce of the Dominican Republic (AMCHAMDR)
The American Chamber of Commerce of the Dominican Republic (AMCHAMDR) is a non-profit association, legally incorporated on November 8, 1923, that fosters a healthy investment climate based on access to knowledge, opportunities, and a culture of best practices for the socioeconomic and professional development of its members. AMCHAMDR is affiliated with the US Chamber of Commerce and is a founding member of the Association of American Chambers of Commerce in Latin America (AACCLA).
AMCHAMDR develops an agenda designed to connect and represent its members with emerging trends in the world of business, markets, and indicators, both nationally and internationally. Its catalog of services is designed to add value to its members by offering concrete solutions and identifying opportunities for business and professional growth.
