CONFOTUR Tax Exemptions When Buying in Las Terrenas

In short: CONFOTUR is the Ministry of Tourism council that approves tourism projects for the incentives of Law 158-01. In an approved project, the buyer may be exempt, depending on the project's resolution, from the 3% transfer tax and from IPI property tax during the exemption period, which Law 195-13 extended to 15 years.

Some developments in Las Terrenas are marketed as "CONFOTUR". Approval can save you several thousand dollars, but only if it is real and covers your unit. This guide explains the regime, its limits and how to check it. Last updated: 21 October 2026.

What is CONFOTUR?

Law 158-01 of 2001 promotes tourism development through tax incentives. The Tourism Promotion Council (CONFOTUR), chaired by the Minister of Tourism, decides which projects qualify. That decision is called "clasificación" (classification).

Classification happens in two stages:

provisional classification, granted before or during construction;
final classification, once the project is completed and compliant.

Classification is never automatic. A developer cannot simply call itself CONFOTUR: it must hold an official resolution.

What does the buyer gain?

Tax	Stated effect for the buyer	Certainty
Transfer tax (3%)	Exempt when buying in the approved project	Medium: several sources limit it to the first buyer
IPI (annual property tax)	Exempt during the incentive period	Medium: secondary sources
Income tax on rental income	Sources disagree	Low: check case by case
Duration	15 years since Law 195-13 (previously 10)	High for the length; check when it starts

The document that counts is the project's resolution. It sets out the incentives granted, how long they last and what the project covers.

How much can you save?

Two sample calculations, not based on any real property:

Transfer tax. On a condo bought for US$300,000, the exemption saves US$9,000 (3%).
IPI. A person whose only property is valued at RD$20,000,000 would, without the exemption, pay 1% of the amount above the 2026 threshold of RD$10,695,494: about RD$93,045 a year.

IPI only applies to value above the threshold. For a modest property, the IPI exemption may make no difference.

Compare prices too. A CONFOTUR unit may be listed higher than a similar property without approval: part of the tax saving is sometimes already built into the price. Run the full numbers over the time you expect to own the property, including resale, when the next buyer may or may not benefit from the exemption.

What Law 30-26 changes

Uncertain point (as of 21 October 2026)

According to the legal analyses we consulted, Law 30-26 of June 2026 does not repeal Law 158-01. However, it bans benefiting from several incentive regimes at once for the same activity or investment. The DGII has not yet issued a rule clarifying this.

Projects with final classification seem best protected, because Law 158-01 in principle bans new taxes during the exemption period. For projects with provisional classification or still applying, protection is less clear. Have a lawyer confirm this before buying for CONFOTUR reasons.

How do you check that a property really is CONFOTUR?

Ask for the resolution from the developer or seller: number, date, provisional or final classification.
Check the scope. Your lot, building or phase must be part of the approved project.
Confirm the classification with the Ministry of Tourism (MITUR), which oversees CONFOTUR.
Provisional classification? Under a DGII rule, the transfer tax exemption then depends on the project obtaining final classification. If the developer does not obtain it, the tax could be claimed. The contract should say who would pay it.
Resale? If you are buying from a first owner, ask your lawyer whether the transfer tax exemption still applies. Sources disagree.
Work out the time left. The 15 years run from a date set by law, often the end of construction. In an older project, few years may remain.

CONFOTUR and vacation rentals

The regime targets tourism projects, and many buyers link it with short-term rentals. Tax incentives, however, guarantee no rental income. Read our guide to vacation rentals before buying with that goal.

What should you ask the developer?

Is the classification provisional or final? Can I see the full resolution?
What incentives does the resolution give buyers, and for how many more years?
Is my unit inside the approved scope?
Who pays the transfer tax if the DGII refuses the exemption?
Do the incentives stay with the property if I resell?

Have the key answers written into the promise of sale. A verbal answer does not protect you.

How the agency helps

On our properties for sale, we state whether a property is marketed as CONFOTUR. Ask us for the resolution: we pass it on to your lawyer, who must verify it.

Questions about a specific project? Message Adriana on WhatsApp at +1 809 258 6052.

Frequently asked questions

Are HOA fees exempt?

No. CONFOTUR covers taxes. Condo fees (cuota de mantenimiento) are still payable. See our condo guide.

Is a CONFOTUR property tax-exempt forever?

No. Incentives last 15 years since Law 195-13, counted from a date set by the law and the resolution. After that, normal taxes apply.

Does the exemption apply if I buy from a first owner?

Not for certain. Several sources limit the 3% exemption to the first buyer; others do not. Ask your lawyer to check before you sign.

How do I know whether a project is approved?

Ask the developer for the CONFOTUR resolution and confirm it with the Ministry of Tourism. A logo on a brochure is not enough.

Does Law 30-26 abolish CONFOTUR?

No, according to the analyses we consulted. It bans combining several incentive regimes, and how it will be applied is still unclear. A lawyer should confirm the effect on your project.

This guide provides general, dated information. It does not replace advice from a lawyer or an accountant: laws and taxes change, so check them on the day of your transaction.