DOMINICAN REPUBLIC Trends and Developments Contributed by: Luis Miguel Pereyra, Pereyra & Asociados
providers early to avoid a last-minute rush and premium pricing from vendors. • Seek simplification windows: (a) watch for simplified regimes and relief on anticipos – if they re-emerge, move quickly to adjust cash flow planning and leverage reduced compliance friction. • Inventory and traceability: (a) strengthen documentation and traceability – especially if dealing in excise-sensitive catego - ries (alcohol, sugary drinks); and (b) implement simple SKU-level dashboards to monitor margins and tax incidence in real time. Risks and opportunities Risks include the following: • with respect to systems, training and process redesign, upfront compliance costs will rise before benefits fully materialise; • implementation bottlenecks could occur if an excessive number of firms seek certification close to the deadline, increasing vendor lead times and error rates; and • mismatches between eCF, returns and information formats could trigger audits and penalties if not proactively managed. However, there are also opportunities. • E-invoicing reduces errors and audit exposure: Real time validation and consistent documentation create cleaner records and lower the risk of disal - lowed credits or adjustments. • Working capital visibility improves: Digital receipts promote more reliable cash flow forecasting, accel - erating collections and informing pricing decisions. • Financing costs may fall for formalised firms: Better documentation and reduced audit uncertainty can improve creditworthiness with lenders. • Operational productivity gains: Automating tax data reconciliation frees staff time for analysis, strategy, and customer facing activities. Step-by-step implementation blueprint Implementation guidance follows. • Governance and ownership:
(a) appoint a tax technology lead and a project manager to co-ordinate across finance, IT and operations; and (b) define a responsible, accountable, consulted, informed (RACI) matrix covering eCF setup, fil - ings, excise modelling and policy monitoring. • Process mapping: (a) document order-to-cash and procure-to-pay workflows – identify where invoice data origi - nates, how it flows into ERP and where valida - tion must occur; and (b) map exception handling (failed validations, cor - rections, credit notes and reissues) – establish turnaround service-level agreements (SLAs). • System integration: (a) choose a certified eCF provider (or use the GII’s free tool) compatible with the ERP/ accounting stack; and (b) implement application programming interfaces (APIs) or connectors for real-time submission and acknowledgment, and use log transaction IDs and validation outcomes for audits. • Data controls: (a) standardise master data (customers, suppli - ers, SKU codes) – inconsistent naming causes reconciliation problems; and (b) build pre-filing checks that reconcile eCF totals against ITBIS returns and forms 606/607 – flag variances automatically. • Excise readiness (alcohol and sugary drinks): (a) create an SKU taxonomy with attributes – alco - hol by volume (ABV), grams of sugar per 100 ml (for beverages), pack size and pricing; (b) run scenario models – tax incidence per SKU, retail price sensitivity and margin impact under different sugar band thresholds or ABV profiles; and (c) update packaging and labels to reflect ac - curate sugar content – ensure lab results and documentation are audit proof. • Training and change management: (a) deliver role-based training for finance clerks, sales ops and procurement – include hands-on eCF validation exercises; and (b) provide quick reference guides for exception handling and month-end reconciliations. • Monitoring and continuous improvement:
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