Tax Incentives for Filmmakers in the Dominican Republic
he Dominican Republic, long known as a diverse and accommodating destination for filmmaking, continues to grow in popularity. The nation constantly looks for new ways to make the DR more appealing, offering tax incentives to filmmakers interested in coming to this beautiful nation for their next production. These tax incentives are available for all types of projects, including feature films, TV series, mini-series, reality shows, documentaries, telenovelas, and music videos, as long as these productions meet certain minimum requirements.
25% Transferable Tax Credit (TTC)
The Dominican Republic offers a generous transferable tax credit: 25% of all eligible expenses, which includes all local costs and Foreign Cast and Crew if paid via a Dominican Production Company. Once the credit is issued, it may be immediately transferred to one or more Dominican Republic taxpayers.
Filmmakers can also save money on services from exclusive film providers. Suppliers such as Studios and Film Equipment Rentals that are registered as exclusive film providers are exempt from Dominican Value Added Tax (18% ITBIS).
Which Expenses Are Eligible?
What makes these incentives so enticing is the wide range of eligible expenses. Both above-the-line and below-the-line expenses qualify, with the exception of distribution and marketing costs, finance costs and bank charges, and completion bond and foreign insurance policies. Payments to Foreign Cast and Crew, if made via a DR Company, are subject to only 1.5% Withholding Tax, in accordance with the DR Inland Revenue Office’s Tax Ruling issued in July 2018.
What Are the Requirements?
- Single Shooting Permit (PUR) issued by the Dominican Film Commission (DGCINE)
- Minimum spend in the country of USD$500,000
- A signed production services agreement with a local production services company
- Contracting legal, accounting and auditing services from pre-approved firms in the DR
- A local general liability insurance
- At least 25% of the total crew and cast members must Dominican nationals or residents
Unmatched Beauty and Diversity
These incentives — combined with stunning landscapes, unparalleled biodiversity, and a fast-developing industry — make the Dominican Republic perfect for your next project. With accessible pristine beaches on over 800 miles of coastline, postcard-worthy white-sand islands, tropical rainforests, mountain ranges, a small desert, big Latin American cities, the oldest colonial city of the Americas, and much more, you will find everything you need for your film or television production.
The process of getting started is simple and straightforward. If you would like more information on the incentive, costs and process, visit www.lantica.media/incentive.