In the Dominican Republic, there has been a law since 2007 that grants tax incentives to Dominicans or foreigners who are residents of the Dominican Republic. This is Law 171-07, on special incentives for pensioners and rentiers from foreign sources.
The law provides for three categories of people who can apply for its benefits:
Pensioners or Rentiers: Those individuals, either Dominicans or foreigners, who receive a pension from a foreign government or private entity and who have decided to reside in the Dominican Republic. The pension category also includes the income received from private pension plans. The minimum pension to apply is US $ 1,500.00 dollars per month.
Rentiers: Those who receive a fixed or variable income of not less than US $ 2,000.00 per month, for: deposit or investments in banks, investment portfolios, dividends from companies, remittances, earnings from real estate, titles or investments of any other nature from overseas.
Among the benefits granted by the Law to applicants, are:
Applicants for these benefits may work in the country or carry out any other activity that generates income, without affecting the previous benefits. In this case, the income they receive from these activities will be subject to local taxes.