Fortunes Creator

Want to become a millionaire overnight? Move to the Dominican Republic!  Okay, that may be somewhat of an exaggeration on my part. But the truth is, if only because of the fact that you are a “Gringo” (i.e. American, Canadian, European, Asian, etc.) the second your soles hit Dominican earth, the locals will treat you as if you are filthy-stinking-rolling-in-dollar-bills rich.

This has its advantages and disadvantages, here in the DR as anywhere else. But in all honesty, new laws have recently been put in place by the Dominican congress that could quite literally make it possible for you to live like royalty on a very modest monthly pension and/or investment dividend check (by American and European standards).

In an effort to attract foreign retirees and investors, Dominican politicians have put together a plan that many Baby Boomers and even Gen-Xers will find hard to dismiss.   One of the most alluring and surprising aspects of this mulit-faceted plan to make the Dominican Republic the Numero Uno Caribbean retirement destination is the fact that there is no age barrier…people of any age are eligible!  As long as you can provide proof of a passive, steady income from interest dividends of at least $2,000 per month (as well as an additional $250 per spouse and/or child), you can enjoy the many benefits of relocating to the DR.

Such seductive tax incentives include:

• Zero Tax regarding the title transfer taxes when you purchase your first home or apartment
• Zero Tax on interest income or dividends derived from investments abroad or local
• 50% off any annual real estate tax owed (FYI: property owners do not pay annual property taxes on any real estate worth RD$5 Million Pesos/US$150,000 or less, but you must pay tax on the prorated value above that amount)
• 50% OFF capital gains taxes of income from you receive as a shareholder of a company not involved in any commercial or industrial activities (such as from a holding company)
• No (zero, zilch, nada) import tax on your personal belongings that you bring into the country as a new resident.  You, of course, are responsible to pay all of the shipping costs associated with moving overseas, but in previous years the taxes were so steep that it was advisable to sell off everything you owned and buy everything new down here…a real drag economically and emotionally.

Of course, you would also enjoy the pleasures of nearly-perfect year-round weather, gorgeous tropical beaches, mountains and river valleys, a stable democratic government, low-cost yet high-quality health and dental care, affordable domestic help, high-interest financial products offered by the local banks, as well as good infrastructure and internet connectivity throughout the country.

Whether it’s affordable beach town living or the lifestyle of a country estate you seek, the Dominican Republic is happy to oblige.  For example, the once tiny resort town of Juan Dolio on the southern coast of the DR is flourishing into a  lovely  little boomtown.  New high-rise seaside apartment buildings and condominium complexes are sprouting up like coconut palms, and selling-out before they’re even built.   New foreign-born residents are enjoying the many local restaurants, two top class golf and country clubs, a short drive to the city for mall-shopping and Gringo delights like TGI Fridays and movies in English.

Opportunities abound in this up-and-coming tropical paradise.  The gradual implementation of DR-CAFTA trade initiatives promise lower prices on goods of American origin, as well as the inevitable influx of US businesses sure to make any Gringo feel a lot less homesick.   With inflation and a credit/mortgage crisis threatening the ability of millions of Americans to retire with dignity, it is easy to see why the Dominican Republic is gaining ground as more than just a vacation destination.  The DR is set to become “Home Sweet Home” to the world’s smartest retirees…of all ages.