Brazil vs Dominican Republic
Tax Rate Comparison
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π° Personal Income Tax Calculator
Enter your income to see your estimated annual tax liability in each country β side by side.
π§π· Brazil β State & Municipal Taxes
Brazil has one of the world's most complex tax systems. States levy ICMS at 7%β18% varying by state. Municipalities levy ISS (services tax) at 2%β5% and IPTU (urban property tax). A sweeping tax reform (EC 132/2023) is gradually replacing ICMS/ISS with unified IBS and CBS taxes through 2033. States impose ITCMD (inheritance/gift tax) up to 8%.
π©π΄ Dominican Republic β Municipal Taxes
The Dominican Republic's 32 provinces and 158 municipalities levy the impuesto a la propiedad inmobiliaria (IPI) on properties above DOP 9.5M at 1%, commercial licences, and local service fees. The DGII (DirecciΓ³n General de Impuestos Internos) administers national taxes. The DR has been one of the fastest-growing economies in Latin America, with tourism, manufacturing (free trade zones), and remittances as key pillars. Tax reform has been ongoing to improve collection and reduce evasion.
Brazil vs Dominican Republic: Key Tax Differences (2026)
π° Income Tax: π§π· Brazil has a higher top income tax rate (0β27.5% vs 0β25%). π©π΄ Dominican Republic is more favourable for high earners.
π VAT/Sales Tax: Brazil has a higher consumption tax (~27.5% combined vs 18%).
π’ Corporate Tax: π©π΄ Dominican Republic offers a lower corporate rate (27% vs 34%), which can influence business location decisions.
π Capital Gains: π§π· Brazil taxes investment gains at a lower rate (22.5% vs 27%), benefiting investors.