Headrick Rizik Alvarez & Fernández often advises on the tax implications of corporate matters, such as transactions, establishment and closure of operations, and restructurings, as well as on preferential tax treatment rights, including exemptions. An example of the former is the firm’s advice for manufacturer BBB Foods on the tax component of its restructuring and expansion, led by Jaime Senior, who also provides ongoing tax advice to Citibank and the Digital Economy Group. Fellow practice co-head Marisol Vicens worked on amendments to the Tax Code and Free Zones Law. The firm frequently advises clients from the tech and manufacturing sectors, as well as financial institutions, which includes local tax structuring advice for international clients.
Tax in Dominican Republic
Headrick Rizik Alvarez & Fernández
Marisol Vicens; Jaime Senior
McKinsey & Co. Inc.
Digital Economy Group
BBB Foods SRL
The Nature Conservancy
National Council of Private Enterprises
Association of Industries of the Dominican Republic
Playa Grande Golf & Resort
One Park Dominicana
- Representing the ‘Digital Economy Group’, a group of high-tech and digital companies, in matters related to tax advice and initiatives of the digital economy.
Medina Garrigó Abogados
Co-headed by litigation specialist Fabiola Medina, Medina Garrigó Abogados focuses on tax dispute resolution, specifically appeals before the Tax Administration and Administrative Court over matters such as fines for lack of permits and inconsistent tax declarations. Fellow co-head Jesús Francos counts Philip Morris Dominicana as a key client, representing it before the Tax Administration and Administrative Court and in settlement negotiations, regarding a US$2m fine for alleged inconsistencies in tax declarations. With senior associate Patricia Álvarez regularly providing support, the team also designs tax-efficient structures and advises clients on responses to new taxes created by the government; Francos acted for three associations in an appeal against the Ministry of Health over a new export-import tax, while Francos and Medina acted for a toll operator in a claim for breach of contract after an asset tax was brought in.
Fabiola Medina Garnes; Jesús Francos Rodríguez
Cervecería Nacional Dominicana
Asociación Dominicana de Exportadores
Asociación de Industrias de la República Dominicana
Organización Nacional de Empresas Comerciales
Asociación Nacional de Importadores
Philip Morris Dominicana, S. A.
Camusat Rep. Dom., SRL.
Autopista del Nordeste/Boulevard Turístico del Atlántico
- Representing the Asociación Dominicana de Exportadores, Asociación de Industrias de la República Dominicana, and Asociación Nacional de Importadores, in an appeal against a Resolution of the Ministry of Health that created a new tax of RD$1,000 for each request of export-import of regulated products (medicine, food, beverages) through the counter for international commerce (Ventanilla Única de Comercio Exterior).
- Acting as legal counsel to Philip Morris Dominicana, S.A., a subsidiary of Philip Morris International, against the Tax Administration (DGII) in a dispute over several tax determination resolutions that established the payment of approximately US$2m for alleged inconsistencies in the tax declarations of VAT and Income Tax of the fiscal periods from 2014-16.
- Assisting Cervecería Nacional Dominicana in an appeal against a resolution of the Tax Administration imposing a fine for the alleged production of a batch of Modelo Beer without the corresponding permits, brought before the Tax Administration and then before the Administrative Court.
Pellerano Nadal practice co-head Luis Rafael Pellerano covers high-value tax litigation cases, co-led with Gustavo Mena, as well as advice on free zones, tax due diligence and regulatory work; the latter includes advising on regulations for international transactions for US logistics client Expeditors International and registration before the tax authorities for airline JetBlue. Senior counsel Urania Paulino and senior associate B Génesis Rodríguez frequently assist in tax work, while the practice was boosted by the arrival of former Pellerano & Herrera practice head Caroline Bonó, who co-heads the team.
Luis Rafael Pellerano; Caroline Bonó
‘Excellent and close relationship with the client. Great responsibility and always go above and beyond to find solutions for clients.’
‘The treatment is very friendly as well as the availability 24/7. Attitude of service and provide access channels to government entities to discuss issues concerning taxes and finances.’
Jetblue Airways Corporation
- Providing advice for Expeditors International, an American worldwide logistics and freight forwarding company, on all tax aspects of their operations in the Dominican Republic to determine if they are properly applying the local regulations in certain international transactions.
- Updated the tax authority registration for JetBlue, a major American airline carrier and currently the largest carrier in the Dominican Republic.
Alburquerque Abogados – Consultores
With much experience of negotiating with the Dominican tax authorities, such as working with them on the tax elements of a real estate swap, Alburquerque Abogados – Consultores acts for clients who have received sanctions for late declarations of taxes or differences in income declared, often gaining settlements to achieve lower payments or exemption from paying surcharges. The firm also aids tourism clients, such as Caliente Club & Resorts and Aqualandia Punta Cana, with the revaluation of their assets by the tax authorities, both through running administrative and jurisdictional appeals against the authorities and through designing structures to divide shares in order to adapt to the new valuation. With additional advice on tax exemptions and tax-efficient corporate structures, managing partner José Manuel Alburquerque Prieto and Gina Hernández Vólquez co-lead on all of the firm’s work, assisted by corporate senior associate Derick Hernández Grau.
José Manuel Alburquerque Prieto; Gina Alexandra Hernández Vólquez
Aqualandia Punta Cana S.R.L.
Compañía Dominicana de Hipermercados – CDH CARREFOUR
Inversiones El Valle Realty
Inversiones Naschtia S.A.
Sigma Alimentos, S.A.
Tesktiler Services S.A.
- Aided Caliente Club & Resorts with a decision made by the General Directorate of Internal Taxes where there was a revaluation of the declared value of the client’s properties, increasing from approximately US$350,000 to US$7,535,282.90, involving filing administrative and jurisdictional appeals against the revaluation until a favourable decision was obtained.
- Assisted Aqualandia Punta Cana in the recommendation and design of a structure to be executed for the revaluation of real estate assets and an increase in value of shares because of a request from the Dominican tax authorities, and further preparation of the documentation recommending and approving the capital increase and the equal repartition of shares between shareholders.
- Assisted Calzados Paris/Alcentro in designing a tax benefit structure to have the minimum impact from a taxation point of view after the dissolution of a corporate group, including exchange of stocks and real estate properties.
Counting a large humber of international companies among its clients, Guzmán Ariza‘s tax practice benefits from the inclusion of tax adviser and accountant Mariano Corral. Fabio J Guzmán-Saladín co-heads the practice and oversees the majority of the firm’s tax work, which often involves advice on tax matters as part of a corporate service. Free zone parks are an area of experience, with the team advising investment funds, manufacturers and telecoms companies on these, as well as tax structuring, which makes up much of the firm’s work. Fellow co-head Alfredo Guzmán Saladín handles tax exemptions and structuring for tourism clients, as well as creating a tax strategy for payments and lease agreements for a trading company. Dispute resolution partner Alberto Reyes Báez often provides support, frequently on tax issues for consortiums.
Fabio Guzmán Saladín; Alfredo Guzmán Saladín
‘Competent, many areas of expertise in one firm.’
Eden Roc at Cap Cana Hotel (Solaya Resorts and Hotel)
12Tree Finance GmbH
Francisco Martinez Group
SH Cacao CO Partners LP (19 degrees services)
Silva International Investments
Digital Works Company
Voith Hydro Ltda.
Potentia Renewables Inc.
- Advised 12Tree Finance in the development of greenfield and brownfield investments in the Dominican cacao-coconut industry, through the creation of a free zone park, thus getting better tax incentives and benefits.
- Advised Schrader Camargo on the incorporation of the Consortium Catalina 15. to provide services to the $2bn Punta Catalina thermoelectric power plant project in the Dominican Republic, including handling its tax matters.
- Legal counsel for Fastenal since August 2009, assisting the client in all corporate, contractual, tax, and government matters.
OMG‘s tax department head Ana Taveras, who was made partner in December 2021, co-leads on all the firm’s tax work with either corporate partner Esperanza Cabral or firm president Leonel Melo, assisted by tax specialist associate Montserrat Viñals. The practice advises on either standalone matters or as part of cross-department work, such as the tax aspects of restructurings and transactions. The team is experienced in negotiating with the tax authority; recently it contended the authority’s opinions over the tax impact of transactions, such as a sale and purchase of shares and a real estate transaction involving CGT, and successfully acquired a waiver of withholding tax for a renewable energy client.
Ana Isabel Taveras
Cargill Caribe, S.R.L.
Compañía Anónima de Explotaciones Industriales, S.A.
Finerty Properties Corp.
Putney Capital Management
Primma Valores, Puesto De Bolsa SA
Meliá Hotels International
- Assisted Generavante with the presentation of a formal consultation before the Dominican Tax Authority to request the applicability of the provisions of the Double Tax Treaty signed between the Dominican Republic and Spain.
- Assisted Compañía Anónima de Explotaciones Industriales with managing a process before the Dominican Tax Authority seeking the negotiation of an opinion (ruling) related to the tax impact of a real estate transaction executed with a Dominican government entity.
- Assisted Finerty Properties Corp in executing an important agreement with regards to the sale and purchase transaction of 30% of the equity shares owned by the seller shareholder in an important group of fuel services stations and the distributor of a lubricant business group.
Pellerano & Herrera
Pellerano & Herrera‘s tax practice received a double blow in 2021 with the departure of practice head Caroline Bonó to Pellerano Nadal and partner Félix Fernández, who worked on tax litigation, to DMK Abogados. Senior associate Nathalie García, who joined the firm in 2022, now oversees its tax work from a corporate perspective. The practice advises on tax audits and planning, the tax elements of corporate restructurings and due diligence on transactions, as well as providing representation in administrative and judicial proceedings.
López-Grullón Abogados & Consultores
López-Grullón Abogados & Consultores counts Abbott Laboratories International as a key client for its tax practice, with the firm representing the pharmaceutical company in multiple administrative challenges against the General Customs Authority over tariff disputes, fines and duties and tax benefits due from the Economic Partnership Agreement. Practice heads Maria Cristina Grullón and Gabriel Podestá Ornes also regularly advise construction clients on tax matters, such as providing representation in administrative procedures and advising on how to qualify for beneficial tax regimes. Another area of experience is negotiating with authorities to allow for imported products to be released while disputes are still ongoing, allowing clients to commercialise their products in the meantime.
María Cristina Grullón; Gabriel Podestá
Abbott Laboratories International
British American Tobacco Dominican Republic
Constructora Armando Toros
Superintendency for Capital Markets
CBMI Construction Co
VRM International Capital
- Presenting administrative challenges for Abbott Laboratories International against the General Customs Authority’s tariff reclassification of its product and fine imposed.
- Acting for Bennu Corp in securing the release of its imports in port during its administrative challenges before the General Customs Authority for fines, allowing the company to commercialise its products without suffering an unlawful tax collection.
- Assisted the Superintendency of Capital Markets in drafting a bill that contained tax incentives for investments in public offerings of securities in the Dominican stock exchange.
Russin, Vecchi & Heredia Bonetti
José Maldonado Stark oversees much of the team’s tax work at Russin, Vecchi & Heredia Bonetti, often aided by associate Laura Fernandez-Peix, with Georges Santoni Recio and Ariel Jaquez Nuñez also leading matters. As a member of tax consultancy network BLITA International, the firm represents clients in administrative proceedings and frequently advises on the tax aspects of real estate investments, such as tax-efficient structuring for real estate investors or taxes on transfers of real estate. Luis Heredia Valenzuela and Román Medina Diplán, who acts for private clients, additionally co-head the department.
Georges Santoni Recio; Luis Heredia Valenzuela; Jose Maldonado Stark; Román Medina Diplan
‘In-depth technical knowledge, they know how to identify and make risks transparent. Honest as to which variables can be controlled and which cannot.’
‘Outstanding management of tax and labour code. Support in share restructuring taking into account the tax impact, analysing the different options and defining the pros and cons of each option. Both José Maldonado and Laura Cruz are always available to clarify any concerns.’