banner-publicaciones

img-zona-franca-especial-new

Colombia, like any other emerging economy, is facing an increasingly competitive international economic environment, with certain advantages offered to foreign investors on taxes and incentives.

Taxes in Colombia can be of National or Regional level. National taxes apply to all the inhabitants of the national territory with the same tariff, meanwhile regional taxes have tariffs within a range determined by national law, which regions cannot surpass. Here is brief description of the most important taxes:

Taxes Definition Tariff
Income and capital gains tax

Income tax is a national tax levied on profits and gains derived from day-to-day operations (ordinary income). The capital gains tax applies over the extraordinary income.

Income tax: 33% for 2019

Capital gains: 10%

Sales tax (VAT)

VAT is an indirect national tax on services provided and on sales and imports of physical goods.

Three tariffs: 0%, 5% or 19%

Consumption tax

Indirect tax levied on vehicles, telecommunications, food and beverages.

4%, 8% and 16%

Tax on financial transactions

The tax is accrued on every transaction aimed at withdrawing resources from checking, deposit or savings accounts, and cashier checks.

0.4% of the value of the operation.

Industry and Commerce Tax

The industry and commerce tax is a local tax that is imposed on revenue generated from industrial, commercial or service activities carried out in the corresponding municipality.

Between 0,2% and 1,4% of the incomes of the company.

Property tax

This tax is levied annually on the ownership, usufruct or possession of real estate property. It is collected by the municipality where the property is located.

Between 0,3% and 3,3%.

 

For more information visit our LEGAL GUIDE.

Tax_system.pdf 310.67 KB

Taxes in Colombia can be of the National level or the Regional level. This means that the National taxes will be applicable to all the inhabitants of the country with the same tariff, meanwhile regional taxes will be determined within a range as dictated by law. This range has a maximum and minimum tariff which regions cannot surpass. Here is brief description of the most important taxes: 

TAX DEFINITION TARIFF
Income and Windfall Tax The income tax in Colombia is a national tax and it is considered a single tax, although it has two components: income and windfall. 33%
Sales Tax (VAT) This is a national tax on supplied services and on sales and imports of physical goods. The average tariff - 16% can range between 0% and 25%.
Wealth Tax This tax is payable by individual and corporate taxpayers whose net worth as of January 1 of 2011 was equal to or more than COP 3.000.000.000 (2010 base figure), equivalent to approximately US$ 1.5 million, based on a $2,000 rate of exchange for 2011. The yearly tariff is:

-2,4% if the net worth is between COP $3.000 million and COP $5.000 million (US$ 1.5 – US$ 2.5 million)

-4,8% if the net worth exceeds COP $5.000 million (US$ 2.5 million)
Tax on Financial Transactions The tax is accrued on every transaction to do with withdrawing resources from checking, deposit or savings accounts, and cashier checks. Four per thousand (0.4%) of the financial operation value.
Industry and Commerce Tax (Regional) This tax is levied on industrial, commercial or service activities carried out within the jurisdiction of a municipality or district by a taxpayer with or without a business establishment, and it is collected and managed by the municipality or district where the activity is carried out. Ranges between 2 per thousand (0,2%) and 10 per thousand (1%)
Property Tax(Regional) This tax in Colombia is levied annually on the ownership, usufruct or possession of real estate property located in Colombia. It is collected and managed by the municipality where the property is located. Ranges between 1 per thousand (0,1%) and 16 per thousand (1,6%)

For further information about Taxes in Colombia please download the Chapter of our Legal Framework about the subject. In that document you will find detailed information about deduction, discounts and other. Visit the following document to get more information on taxes.

Download here:

Tax Legal Framework in Colombia.pdf  83 Kb

Sectors

Find more information about sector opportunities.
view more Agroindustria Manufacturas Servicios

Invalid Input

Invalid Input

Invalid Input

Aceptar

Subscribe