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Senator Omar Fernández (Fuerza del Pueblo – National District) has submitted a resolution urging the President to instruct the Tax Agency (DGII) to implement the legally mandated indexation of the income tax (ISR) for salaries up to RD$52,000 per month. Fernández argues this is a necessary act of “fiscal justice” that would benefit approximately 720,000 workers, as reported by Noticias SIN. The last time wages were indexed was in 2017 during the first year of the government of President Danilo Medina (PLD). The general tax law orders the annual indexing of wages to adjust these for inflation. The proposal, deposited on Monday, 3 November 2025, specifically seeks compliance with Article 327 of the Tax Code, which requires the automatic indexation of the tax-exempt income bracket to counteract inflation. This adjustment, the senator noted, has been successively suspended in various budget laws. In his call for action, the Fuerza del Pueblo legislator highlighted the severe impact of the current freeze on wages:300,000 workers currently earning below RD$52,000 are affected.420,000 salaried employees earning above that threshold are paying more taxes than they should. “The indexation of the exempt bracket of the income tax is not a favor; it is a legal mandate and an act of justice for the workers,” Fernández declared. “Today more than ever, families need their wages to stretch, and the government has the responsibility to guarantee it.” Fernández explained that the current tax-exempt salary ceiling has been frozen for several years, a situation that has severely eroded the purchasing power of Dominican households. He stated that this freeze effectively reduces the capacity to purchase basic goods to only 18 days a month. “Our proposal seeks that incomes up to RD$52,000 per month are not taxed,” he stressed. “This is about returning to the workers what belongs to them and complying with what the law states.” The senator also reiterated his previous stance that a focused review of social programs could save the state over RD$13.4 billion annually without affecting crucial sectors like education or health. The Minister of Hacienda, speaking at the 3 November 2025 presidential press conference, said the indexation would cost the government RD$18 billion. Read more in Spanish:Noticias SIN 4 November 2025
