What triggers the obligation
A Dominican entity that transacts with related parties —its parent, a sister company, a shareholder, or a counterparty in a preferential tax regime— falls within the Dominican transfer pricing rules and must file the related-party information return known as the DIOR.
The transactions that most often go unidentified are not sales. They are management fees, royalties, intercompany loans and interest, cost allocations from headquarters, and guarantees. Each of them is a controlled transaction.
What we do
- Identify the population of related-party transactions from the accounting records, not from a questionnaire. What is not booked as intercompany is exactly what gets missed.
- Prepare and file the DIOR within its statutory window.
- Coordinate the transfer pricing study and make sure its conclusions match what was actually recorded and declared. A study that contradicts the ledger is worse than no study.
- Flag the obligation before the deadline runs, not when it has already run.
Why the ledger matters more than the study
A transfer pricing file is examined against the accounting records. When the team preparing the documentation is the same team recording the transactions, the support for each intercompany charge is identified at the moment it is booked — not reconstructed a year later from emails.
This is the same principle that governs the rest of our work: a position that cannot be evidenced from the file is not a position, it is an expectation.
If it is questioned
The statutory deadline to contest an assessment in the Dominican Republic is twenty days from notification —Article 57, Law núm. 11-92—. It is short, it runs from the date of service rather than the date you read it, and the same team that prepared the file answers it.
Hueyi Group, S.R.L. · Santo Domingo, Dominican Republic · Contact us