Most companies dodge income from fixed-term bank deposits

Santo Domingo.- The Internal Taxes Agency (DGII) revealed yesterday Friday that 19,780 companies (92.49%) which receive income on interest earned from fixed-term deposits in the country’s banks, don’t pay the 29% of their income which should be reported as such.

DGII statistics show that it has 21,385 companies listed which receive interest from taxable income via the 1% tax on interests, but there are 11,300 of those which declare the Tax on Income (ISR), but are earning income from interest, "and 8,480 which don’ declare any tax."

Its statistics also reveal that only 7% of all companies which must pay tax on income from taxable interest comply with their statements, as state in DGII Norm 13-2011, which means that only 1,605 have declared receiving income on interests.

Norm 13-2011 identifies financial intermediaries as withholding agents of the 1% interest paid to any legal person, issued by the DGII on September 5, 2011.

Hearing

In a statement, the DGII said it defended the application of Norm 13-2011 at the hearing held yesterday in the Constitutional Court, based on its belief that it meets the Constitution’s legal precepts.