According to law 1819 of 2016, Colombia introduced a dividend tax on profits derived as of 1 January 2017, summary as follows:
(i) Taxable dividends are subject to 35% final withholding tax and 5% final withholding tax may apply on non-taxable dividends applicable for non-resident companies;
(ii) Taxable dividends are subject to 35% final withholding tax and 5% final withholding tax may apply on non-taxable dividends applicable for non-resident individuals; and
(iii) Following rates are applicable on dividends income by resident individuals:
| Dividends | Threshold | Applicable Rate |
| Taxable dividends distributed by a resident company | Any amount | 35.00% |
| Dividends distributed by a non-resident company | Any amount | 35.00% |
| Non-taxable dividends | Up to 600 tax value units (TVUs) | 0% |
| 600 – 1,000 TVUs | 5.00% | |
| over 1,000 TVUs | 10.00% |
