On September 29, 2021, the General Directorate of Internal Tax (DGII) of the Dominican Republic (DR) issued Regulation 07-21, implementing the Fiscal Control and Traceability System for Alcoholic Beverages and Cigars (TRAFICO) to tackle illicit trade and tax evasion in the alcoholic beverage and cigarette sectors. The implementation of TRAFICO could potentially harm U.S. exports of alcoholic beverages to the Dominican market and possibly constitutes a violation of the World Trade Organization (WTO) national treatment principle. After delaying the implementation of the system for imported alcoholic beverages to June 2023, DGII authorities have recently informed Post that they have decided to again extend the system’s implementation date until December 2023.
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