Best Accounting & Auditing Lawyers in Salcedo

About Accounting & Auditing Law in Salcedo, Dominican Republic

Accounting and auditing in Salcedo operate under Dominican national laws and standards, applied locally by professionals and authorities in Hermanas Mirabal Province. Companies and independent professionals must maintain accurate books, issue authorized tax receipts, file periodic tax returns, and, where required, undergo audits. The Dominican Republic has adopted International Financial Reporting Standards - IFRS - and IFRS for SMEs as the basis of financial reporting, and audits are performed under International Standards on Auditing - ISA. Tax administration is centralized under the Dirección General de Impuestos Internos - DGII, with additional oversight for regulated sectors by their respective superintendencies. While the laws are national, practical matters like municipal operating licenses and local fees are handled by the Ayuntamiento de Salcedo and the provincial Chamber of Commerce.

Why You May Need a Lawyer

Although accountants handle day-to-day compliance, legal counsel becomes essential in several situations. You may need a lawyer to select and form the appropriate entity type - SRL, SA, SAS, EIRL - and draft bylaws that align with accounting and audit obligations. Legal support is important in DGII tax audits, assessments, and appeals, where procedural strategy and deadlines are critical. If you are acquiring or selling a business in Salcedo, a lawyer can coordinate financial due diligence, representations and warranties, and tax indemnities. Regulated entities - such as financial services, insurance, and publicly traded companies - often need lawyers to interpret sector rules that affect accounting, internal controls, and external audit requirements. Lawyers also assist with contract drafting for service agreements, transfer pricing documentation, cross-border withholding questions, and remediation when bookkeeping issues, unreported taxes, or NCF - comprobantes fiscales - errors are found. If there are disputes among shareholders or with a statutory auditor - comisario de cuentas - a lawyer can help enforce corporate governance rules and protect your rights.

Local Laws Overview

Company Law - Law 479-08 and its amendments regulate Dominican company forms and governance. Financial statements must follow Dominican GAAP as aligned with IFRS and IFRS for SMEs. Certain company types - particularly sociedades anónimas - must appoint a statutory auditor - comisario de cuentas - while SRLs and SAS generally appoint one only if required by bylaws or regulators. Corporate books and shareholder minutes must be maintained and legalized as required.

Tax Law - The Dominican Tax Code - Law 11-92 - and DGII regulations govern income tax, VAT - ITBIS, excise - ISC, withholding, and information reporting. Common filings include monthly ITBIS, payroll and withholding returns, and supplier and sales report files - 606, 607, plus 608 for voided vouchers. Annual income tax returns are mandatory for companies and many professionals. DGII prescribes numbered tax receipts - NCF or electronic e-CF - and audits compliance with issuance rules. The general statute of limitations for tax assessments is typically three years, extended in cases of fraud or failure to file.

Auditing Standards and Licensing - External audits are conducted under ISA by licensed Dominican CPAs - Contadores Públicos Autorizados - who hold an exequatur and are registered with the Instituto de Contadores Públicos Autorizados de la República Dominicana - ICPARD. Regulated sectors - banking, insurance, securities - have additional audit and reporting rules set by their superintendencies.

Electronic Invoicing - The DGII manages the electronic tax receipt system - e-CF. The country is implementing a phased plan to make e-invoicing mandatory. Taxpayers in Salcedo should confirm their specific adoption timeline with DGII and align accounting systems accordingly.

Anti-Money Laundering - Law 155-17 imposes customer due diligence and reporting obligations on certain businesses and professions. Accountants and auditors can be obliged subjects when they engage in specified activities for clients. Companies must also implement reasonable controls to prevent illicit transactions.

Labor and Payroll - Employers must register with the Tesorería de la Seguridad Social - TSS and comply with payroll withholding, social security, and the INFOTEP training contribution. Accurate payroll accounting and timely filings are essential to avoid penalties.

Municipal Requirements in Salcedo - Businesses typically need a municipal operating license and may be subject to local fees. The Ayuntamiento de Salcedo and the provincial Chamber of Commerce process registrations, legalizations of certain corporate books, and commercial certificates often requested by banks and auditors.

Frequently Asked Questions

What accounting standards apply to companies in Salcedo?

Dominican companies use IFRS or IFRS for SMEs as adopted nationally. Regulated entities may also follow sector-specific guidance from their superintendencies.

Who needs an external audit?

Publicly traded companies and regulated entities such as banks and insurers require annual external audits. Other companies may need audits if bylaws, lenders, investors, or contracts require them.

Is a comisario de cuentas mandatory?

For certain company types, especially sociedades anónimas, appointment of a comisario de cuentas is required by company law. For SRLs and SAS it is generally optional unless bylaws or regulators require it.

What are the main monthly DGII filings?

Common filings include ITBIS returns, payroll and withholding returns, and information reports such as Form 606 for supplier purchases, 607 for sales, and 608 for voided vouchers. Specific obligations depend on your activity and tax regime.

How are invoices handled in the Dominican Republic?

Invoices must be issued with authorized tax numbers - NCF - or electronic e-CF codes assigned by DGII. Using incorrect or unauthorized vouchers can trigger penalties and jeopardize VAT credits.

What triggers a DGII tax audit?

Frequent triggers include inconsistencies between 606 and 607 files, large VAT credit balances, unusual deductions, cross-checks with supplier data, or late and missing filings.

How long can DGII assess taxes?

The general statute of limitations is usually three years from the due date or filing date, extended in cases of fraud or failure to file. Precise timelines can vary by tax type and facts.

Do small businesses in Salcedo need a lawyer for bookkeeping?

Routine bookkeeping is typically handled by an accountant. You should involve a lawyer when forming a company, drafting bylaws, facing a DGII audit, negotiating financing, or handling partner disputes.

What payroll obligations apply to employers?

Employers must register workers, calculate and remit payroll withholdings, make social security and training contributions via TSS and INFOTEP, and file monthly reports with DGII.

Are there local municipal taxes or permits?

Yes. The Ayuntamiento de Salcedo may require an operating license and assess local fees. Banks and auditors often request municipal compliance certificates and Chamber of Commerce registrations.

Additional Resources

DGII - Dirección General de Impuestos Internos - national tax authority that issues NCF and e-CF rules, processes returns, conducts audits, and publishes taxpayer guidance.

ICPARD - Instituto de Contadores Públicos Autorizados de la República Dominicana - professional body for CPAs, standards adoption, ethics, and licensing support.

Superintendencia de Bancos - regulator for financial institutions with specific accounting and audit requirements.

Superintendencia del Mercado de Valores - regulator for publicly traded companies, issuer reporting, and auditor registration for listed entities.

Superintendencia de Seguros - insurance sector regulator for accounting and audit in insurers and brokers.

Unidad de Análisis Financiero - UAF - financial intelligence unit for AML compliance and suspicious transaction reporting.

Ayuntamiento de Salcedo - municipal office for operating licenses and local business compliance.

Cámara de Comercio y Producción de la Provincia Hermanas Mirabal - registration, commercial certifications, and legalization of corporate books commonly used in audits and bank procedures.

Tesorería de la Seguridad Social - TSS - employer registration, contribution payments, and payroll compliance.

Ministerio de Industria, Comercio y Mipymes - MICM - guidance on formalization and compliance for micro, small, and medium businesses.

Next Steps

Clarify your objectives - routine compliance, audit readiness, resolving a DGII assessment, or preparing for investment or financing. List your concerns and deadlines.

Gather documents - incorporation papers, bylaws, minutes, RNC registration, NCF authorizations, accounting ledgers, bank statements, contracts, payroll records, tax filings, and DGII correspondence.

Consult a local CPA in Salcedo or nearby provinces - verify ICPARD membership and exequatur - to assess accounting issues, prepare reconciliations, and correct reporting.

Engage a lawyer with tax and corporate experience - request a written engagement letter outlining scope, fees, confidentiality, and conflict checks. Coordinate among lawyer, CPA, and any external auditor to align strategies.

Remediate promptly - correct NCF or e-CF issues, submit amended filings if advisable, implement internal controls, and document your positions. For audits, track response deadlines and maintain a clear record of submissions.

Plan forward - adopt compliant invoicing systems, update bylaws if governance changes are needed - for example adding a comisario de cuentas or audit committee - and implement a calendar for DGII, TSS, and municipal obligations.

If you receive a DGII assessment, evaluate options - payment, installment plans, administrative reconsideration, or judicial appeal - with your lawyer and CPA. Respect procedural timelines to preserve your rights.

Local knowledge matters - coordinate with the Ayuntamiento de Salcedo and the provincial Chamber of Commerce to keep municipal licenses, commercial registries, and book legalizations up to date, which supports bank relationships and audit readiness.