CONFOTUR Tax-Exempt Properties in Las Terrenas
CONFOTUR is the Dominican Republic’s tourism-incentive law (Law 158-01). Properties inside government-approved tourism projects come with some of the most generous tax exemptions in the Caribbean — and every listing on this page is CONFOTUR-approved.
What the CONFOTUR Law Exempts
No 3% transfer tax. Normally, every property purchase in the Dominican Republic pays a transfer tax of 3% of the property value when the title changes hands. On a CONFOTUR-approved purchase, that cost disappears.
No annual property tax (IPI). Owners normally pay 1% per year on the portion of the property value above the official threshold. CONFOTUR properties are exempt for up to 15 years, counted from the project’s approval.
Who Qualifies?
Anyone — the benefits apply to foreign and Dominican buyers alike, whether you buy personally or through a company. The exemption belongs to the approved project, not to the buyer, so there is no residency or nationality requirement. The transfer-tax exemption applies to the first transfer of the unit; the remaining years of the IPI exemption run with the property.
What to Check Before You Buy
Not every new project is approved, and exemption clocks start at different dates. Before you commit, we confirm three things with you: the project’s CONFOTUR resolution number, how many exemption years remain, and that the developer’s paperwork is in good standing. Your lawyer verifies all of it before closing — we work with trusted independent lawyers in Las Terrenas.
CONFOTUR FAQ
How much does it actually save? On a US$300,000 condo, the transfer-tax saving alone is US$9,000 at closing, before counting up to 15 years without annual property tax.
Does it apply to resales? The transfer-tax exemption is for the first registered transfer. A resale within an approved project can still carry the remaining IPI-exemption years — have your lawyer confirm what remains.
Which properties qualify? Mostly new condos and villas in approved developments. Many pre-construction projects in Las Terrenas are CONFOTUR-approved, and several also rank among our high-profitability investment properties.
Want to know exactly what a CONFOTUR purchase would save you? Contact our team — we will run the numbers for any listing above.