A 1% annual tax is assessed on real estate properties owned by individuals, based on the cumulative value of all the properties as appraised by government authorities. Properties are valued without taking into consideration any furniture or equipment to be found in them.
For built lots, the 1% is calculated only for values exceeding 6,858,885.00 DOP (about $150,000 depending on exchange which fluctuates). For unbuilt lots, the 1% tax is calculated on the actual appraised value without the exemption.
The real estate tax is payable every year on or before March 11, or in two equal instalments: 50% on or before March 11, and the remaining 50%, on or before September 11.
The amount of the exemption is adjusted annually for inflation.
The following properties are exempt from paying real estate tax:
(a) farm properties;
(b) homes whose owner is 65 years old or older, and has no other property in his or her name; and
(c) properties owned by companies, which pay a separate tax on their company assets.
Companies pay an annual 1% tax on company assets. However, the amount of tax on assets paid by a company can be applied as a credit toward its income tax obligations.
*Tax amount is calculated and assigned every year, please check for updated number.