On 21 August 2020, the Colombian National Tax Authority (Dirección de Impuestos y Aduanas Nacionales, DIAN) has issued Resolution No. 000085 in the official gazette which establishes Mutual Agreement Procedure (MAP) to avoid double taxation and prevent evasion in Colombia.

The Resolution provides the content and procedure applicable to the request referred to in Article 869-3 of the Tax Statute, which may be submitted by Taxpayers to access the Mutual Agreement Procedure (MAP) regulated in the Agreements to Avoid Double Taxation and prevent tax evasion and avoidance signed by Colombia, as well as provide guidelines for obtaining assistance from the Competent Authority of Colombia (ACC) in accordance with the provisions of said agreements, within the framework of the Mutual Agreement Procedure (MAP).

The Resolution explains the following key areas:

  • General information on MAP- object, scope, definitions, and procedure;
  • Rules on filing a MAP request;
  • Submission of the MAP request;
  • The role of the Competent Authority of Colombia (ACC) in the MAP process;
  • Coordination with other procedures; and
  • Collection, penalties, and interests regarding MAP.