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Dominican Republic

Work?

Work?

Postby Kay » Fri 13 Jan 2006 06:15 GMT

Hi DRAddict

You make DR sound very attractive. I'm just curious about whether or not foreigners can work and/or own businesses there, and how easy or difficult it is to get a work permit. How about income tax?

Thanks in advance

Kay
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Postby DRAddict » Sat 14 Jan 2006 18:57 GMT

Oh BOY, how many pages on this do you want Kay???

YES work opportunities exist here, the DR is a developing nation & welcomes new ideas & foreigners (as long as they are the decent ones that integrate). My initial advice however is for people to come & INVESTIGATE the business scene before attempting to start up anything. They must get to know the culture here, get to know who the trustworthy players are, get a good selection of EXCELLENT contacts to help them through to fruition of their aims & desires.

For those just looking to 'work' here, Yes there are possibilities for that too, but be careful NOT to try taking on a job that a Dominican could do - that is frowned on. Spanish is generally a pre-requisite for working here UNLESS you have a skill that you can use solely within the Ex-Pat community where English is spoken.

Are you a reliable 110 v electrician?? Book your ticket immediately please - Dominican electricians are generally accidents waiting to happen - they are 'shocking'!! Rubber gloves, Wellingon boots & eye-protectors are adviseable whilst checking Dominican electrician's work!

Likewise with plumbers - I have been trying to set up a system of plastic pipes on my roof to pre heat water from a cistern to my hot water system (to reduce my electricity bill) for some 12 months now - no-one appears able (or have the desire) to design it & then link everything in to my existing system. They want to come along & start the work & then make up the design & ideas as they go along!

PLANNING is NOT a Dominican Trait - getting something BODGED is - however, it DOES normally work when they have finished (the third or fourth time of finishing!!).

Legalities? Normally speaking there are no restrictions whilst a person is self employed as a sole proprietor. Expand into 2 or 3 Dominican apprentices or craftsmen & a legal set up would be advised. There ARE legal requirements in place for people working here true, & these should be investigated (& hopefully complied with) as one progresses in business, but to start off with, a low profile, flying under the radar, will allow initial set up & income to get underway.

Residency (residencia) is required after the tourist visa runs out - normally this is started after 6 or 7 weeks of being here & takes 3 months to complete. Cost is from US $1,200 to US $2,500 depending on Lawyer & speed at which it is processed. This 'Temporary' residency lasts 12 months & then has to renewed to a permenent residency which then lasts for two years! If your Spanish is good enough (plus you know the system) these processes can be done by yourself & consequently - MUCH cheaper. However, in the first flush of moving here this is not recommended.

Taxes??? There is a nominal 10% for income over RD $20,000 per month (US $650 approx) & then it goes up to 15%, 20%, 30% etc when certain thresholds are passed. As you can live quite happily on an income of US $1,500 per month here, incomes are kept to a minimum (especially the ones advised to the IRS equivalent)! Interestingly, income derived from investments (abroad OR within the country) are not usually taxed - unless the DGII (IRS) feel they can get away with it when dealing with an uninformed foreigner!

Whilst on the subject of investments, rates of returns are pretty much higher than in the UK & one CAN (with the right level of invested capital AND in the right place) live off these returns. This is NOT recommended for the young or middle aged on a long term basis however, as one needs to be involved with the community to prosper & enjoy life to the full, but for the short term whist organising ones life here, it is a definite advantage that you don't have to start earning an income from day ONE! For us older guys, with a small UK pension plus a few bob invested over here, a DECENT income is achievable & definiely a sustainable one!! We DO however, have to watch out for the Inheritance Tax - this can be a killer if not handled right!

That enough to start with Kay? Having exhausted myself with thinking, I am now going to take my afternoon siesta in a darkened room. Like the UK, it is mid winter here so I shall not have to bother with the airconditioning system & can make do with fan at just 1/2 speed & 3 very cool beers!

Eat your heart out England!! ~ Grahame.
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It Can Be Done

Postby mountainfrog » Wed 1 Aug 2007 15:50 GMT

Kay wrote:...You make DR sound very attractive. I'm just curious about whether or not foreigners can work and/or own businesses there, and how easy or difficult it is to get a work permit. How about income tax?


Foreigners can work here and own a business.

A work permit is tied to a residency. Some, however, work without the latter (which I think is all right until one finds out whether the circumstances suit one).

Income tax exists:
http://www.dgii.gov.do/servicios/calretenciones.html
(When I checked last the site was down.)

It's not easy in some jobs and some locations to get a slice of the cake against the local competition; especially when YOU pay taxes and they don't...
:roll:

mountainfrog
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Postby DRAddict » Wed 1 Aug 2007 16:44 GMT

Well, well. WELL - welcome you Old Prince waiting to be kissed by a young damsel. Nice to see you here!! This is 'Ginnie's' other half in Puerto Plata!!!

Nice to see someone from the North East section here & look forward to your insightful & informative input!!

Have you managed to get hold of (& read) a copy of her book yet? ~ Grahame.
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Complimentary Issue?

Postby mountainfrog » Wed 1 Aug 2007 16:49 GMT

DRAddict wrote:....Have you managed to get hold of (& read) a copy of her book yet? ~ Grahame.


How can I with all that being kissed by prince seeking ranitas? :lol:

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