Christmas: The Double Salary will be tax-free without a salary cap, according to Law 30-26

The National Congress passed Law 30-26, which confirms that the 13th-month salary, or Christmas bonus, will be tax-free.

This means that workers will receive the full amount of this bonus, without any deductions, even if it exceeds five times the minimum wage.

Double taxation.

The new legislation adds a paragraph to Article 222 of the Labor Code and reiterates that the Christmas bonus will remain tax-free regardless of the salary cap.

Rogelio Hernández, a lawyer specializing in labor law, explained that: “In the past, before Law 204-97, the amount exceeding five minimum wages was considered a type of bonus that was subject to taxation.”

The new provision of Law 30-26 reaffirms Law 204-97 of October 24, 1997, which added a paragraph to Article 222 of the Labor Code.

Indexing salaries subject to income tax would also result in higher tax payments.

“Now, under Law 30-26, the entire Christmas bonus is exempt, regardless of the amount.

Whether a worker earns RD$500,000 or RD$1,000,000, they will receive the full amount as a Christmas bonus,” he noted.

The new provision clarifies that the exemption applies to the entire Christmas bonus, even if the amount exceeds five times the minimum wage.

In addition to this measure, Law 30-26 includes payment arrangements for taxpayers, discounts for early payment, a tax amnesty through December 2026, and new tax rates for individuals and legal entities, strengthening fiscal discipline and addressing the international crisis.