Dominican Republic President Luis Abinader has promulgated Law 30-26 on June 18, 2026, establishing a strict regulatory and tax framework for the country’s rapidly growing vaping industry. This legislative move aims to strengthen fiscal discipline, combat smuggling, and stabilize the national economy amidst ongoing international financial uncertainty.
Under the new law, any individual or business involved in the manufacturing, importation, or commercialization of electronic cigarettes and e-liquids must register with the General Directorate of Internal Taxes (DGII). Operators are now required to obtain a special license and post a financial bond (fianza) to guarantee their tax obligations before they can legally operate.
A central pillar of Law 30-26 is the introduction of a 55% ad-valorem Selective Consumption Tax (ISC) on all vaping devices and related consumables, whether they contain nicotine or not. The tax is calculated based on the final retail price paid by the consumer, and the law strictly prohibits any price splitting or artificial deductions designed to lower this taxable base.
| Regulatory Category | Requirements & Fiscal Measures Under Law 30-26 |
|---|---|
| Selective Tax Rate (ISC) | 55% ad-valorem tax applied directly to the final retail price. |
| Affected Products | Personal e-cigarettes, electronic vaporizers, and e-liquids (with or without nicotine). |
| Market Access | Mandatory DGII registration, special operating license, and a financial security bond. |
| Anti-Contraband Measures | Implementation of fiscal seals, physical stamps, and digital traceability systems. |
To ensure strict compliance and prevent tax evasion, the Dominican government is deploying advanced traceability tools. These include physical fiscal seals and technological tracking mechanisms designed to monitor the exact path of vapor products from domestic factories or customs entry points directly to the retail counter.
By integrating these products into the formal tax structure alongside traditional alcohol and tobacco, Dominican authorities expect to significantly reduce the black market trade that has historically targeted younger consumers.
