Deputies propose ITBIS refund for tourists to boost consumption

Santo Domingo.- Deputies Orlando Jorge Villegas, Omar Fernández, and Víctor Fadul have introduced a bill aimed at stimulating tourist consumption in the country by implementing a refund system for the tax on the transfer of industrialized goods and services (ITBIS).

Under the proposed initiative, foreign tourists and non-residents who purchase domestically produced or imported goods would be eligible to request a refund of the ITBIS upon their departure from the Dominican Republic. The primary objective of the bill is to encourage tourist spending in local businesses and generate a positive economic impact by creating job opportunities through the multiplier effect.

The legislation highlights that over a dozen countries worldwide have already implemented similar refund systems for tourist taxes, which have successfully increased visitors’ purchasing power and boosted the consumption of goods and services within their respective tourism destinations.

According to the bill, the ITBIS refund for foreign tourists and non-residents would be limited to specific categories of goods outlined in the law, including exportable food and beverages, handicrafts, costume jewelry, textiles, and jewelry, among others.

The proposed legislation will be subject to debate in the National Congress in the upcoming days, with the potential to become law upon approval. If implemented, it is anticipated that the bill will stimulate tourist consumption in the Dominican Republic, thereby generating a significant positive impact on the local economy.