Foreign Corp doing business in the DR, etc

[k0balt]

I have a specific question regarding foreign corporations doing business in the DR, as well as some general ones. I have tried searching but have not been able to find the answers I need, and also I know that dominican corporate law has very recently been overhauled, so I need current info if possible.

My questions are, in order of importance:

1: Can a US corporation with an RNC# legally import and sell items in the DR?
a. Do any special fees / taxes apply that would not apply to a DR company?

2: Are there restrictions on the type of business that can be conducted by a foreign corporation?

3:Can a foreign person own a Limited Liability Individual Business (EIRL)?

4. What is the process for a foreign corporation to do business here (including import and resale)? (i realize that this may have been answered in other threads, if you have good search params or could link to them, please include)

Please do not respond with "use the search function", unless you can also help with search terms or links to old posts... I have looked, maybe I just don't know what to search for?

Any helpful information would be appreciated!

[CFA123]

perhaps try your request in the 'legal' forum if you haven't already.
you may be fortunate enough to have your question answered there by DR1's "resident attorney", Fabio Guzman. i don't recall seeing him respond to questions in any but the legal forum.

[k0balt]

Thank you, I'll try that!

[El Rey de Mangu]

Hey there,

As I replied to your other post, let me see if we can provide some momentum to your search for answers.

1) If you have an RNC, this means you have established a Dominican Business Corporation in accordance with the regulatory environment of the DGII. There are a few structures available and it doesn't matter if you are a foreigner or a Dominican National. CxA, SxA and something lesser-known called a "SOCIEDAD DE HECHO Y PARTICIPACION". The latter needing only 3 members (one needing to be a Dominican National). The other structures require 7 members (also requiring one Dominican National.) Most attorneys provide proxy services where they will assign any required members.

I personally recommend that if you do not have access to a Dominican National, please seek out proxy services from attorneys such as Guzman or Pellerano y Herrera.

2) You will need to go visit DGA (customs) to obtain a solid understanding of allowed good/services for import/export, along with a full tariff schedule. Also, if you will be in the import/export biz, you will save your blood pressure by finding a good, trusted customs broker.

3) Recall, there are Free Trade designated businesses here where you receive numerous tax breaks. Two great examples are the Call Center and Alternative Energy industries (here you will need to contact CEIRD, as I mentioned in my previous reply).

Oh, setting up a corporation is about 20K pesos. If you chose to leverage an attorney/registered agent. etc. for a full service deal, you could be talking about up to 10 times that, depending on the nature and extent of your business.

If you already have these answers, then best of luck. If I may provide more detail, feel free to respond with other questions.