Colombia: Key changes on international mergers and spin-offs
According to a recently published Ruling 2242 of 2017, the Colombian National Tax Authority (DIAN) pronounced on the tax effects of international mergers and spin-offs. In accordance with article 319-8 of the Tax Code (TC), the transfer of assets
See MoreColombia: Updated forms for filing tax returns in 2017
According to Administrative Regulation 6 of 2017, the National Tax Authority (DIAN) recently published the following forms for filing tax returns in 2017: Form 120: informative transfer pricing return; Form 140: CREE tax return; Form 160:
See MoreColombia: New deadlines for filing tax returns
Decree 220 of 2017 amends Decree 1625 of 2016 regarding the deadlines for filing tax returns. In the case of large-income taxpayers, the Decree provides the deadlines to pay their income tax corresponding to tax year 2016 in three installments. It
See MoreColombia updates tax obligations for self-withholding agents
The Colombian National Tax Authority (DIAN) recently issued a press release regarding new tax obligations applicable to self-withholding agents as from 1 January 2017. It recalls that the tax reform revoked the fairness tax so self-withholding
See MoreColombia: Tax reform 2016 and Transfer Pricing Updates
In accordance with law 1819 of 2016, adopting the structural tax reform bill approved on 23 December 2016, introduces the following main changes to the transfer pricing regime. According to article 260-3 of the Tax Code (TC), as amended by the tax
See MoreColombia introduces new incentives for small enterprises
According to law 1819 of 2016, adopting the structural tax reform bill introduces amendments to the corporate income tax incentives applicable to small enterprises benefiting from Law 1429 of 2010, as follows: Years of incorporation Current
See MoreColombia: Fail to collect VAT is subject to a prison sentence between 48 to 108 months
The Colombian National Tax Authority (DIAN) issued a Press Release regarding the criminal offence introduced by Law 1819 of 2016 in the case of not collecting VAT and consumption tax, on 6 February 2017. In accordance with Press Release, as of 1
See MoreColombia: Taxpayers can adjust the value of their fixed assets to 7.08%
On 30 December 2016, the Colombian National Tax Authority (DIAN) published a Decree 2202 of 2016 that regulates articles 70 and 73 of the Tax Code (TC) related to fixed asset value adjustments and the determination of taxable income or capital gains
See MoreColombia: Tax administrative summary of tax reform 2016
According to law 1819 of 2016, adopting the structural tax reform bill approved on 23 December 2016, which introduces the following major changes to the tax administration, tax procedures and penalties: Tax administration The tax reform introduces
See MoreUAE ratifies TIEA with Colombia
On 15 January 2017, the United Arab Emirates (UAE) ratified the Tax Information Exchange Agreement (TIEA) with Colombia by way of Decree 227-2016. Furthermore, this Agreement provides for the effective exchange of information regarding tax matters
See MoreColombia: Tax reform summary 2016
According to law 1819 of 2016, adopting the structural tax reform bill approved on 23 December 2016. It introduces the following major changes to the corporate income tax regime: Income tax rates As from tax year 2019, a single income tax rate of
See MoreColombia introduces new turnover tax withholding requirements
According to regulation DDI-052377-2016 of Bogota's Tax Administration a new turnover tax withholding requirements has launched and it effective as from first January 2017. The new regulation provides the entities that have to act as turnover tax
See MoreColombia introduces special self-withholdings
According to Decree 2201-2016, Colombia has introduced additional special self-withholdings which are applicable as of first January 2017. It will replace the CREE self-withholdings that were abrogated under the most recent tax reform. In article 2
See MoreChief prosecutor: Colombia’s tax reform fails to tackle tax evasion
On 2 January 2017, the chief prosecutor of Colombia slammed a tax reform claiming the latest tax system is unsuccessful to tackle the mass tax evasion. Mr. Nestor Humberto Martinez, the Prosecutor General sent a letter to the Minister for
See MoreColombia introduced dividend tax
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
See MoreColombia increases VAT rate to 19%
Colombia is due to increase its value-added tax (VAT) rate from 16 percent to 19 percent. The measure was included in a tax reform bill that was recently approved by Congress. The increased rate would come into effect from 2017. Currently VAT
See MoreColombian Chamber of Representatives and Senate approve tax reform bill
The Colombian Chamber of Representatives and the Senate approved the tax reform bill filed by the government, on 23 December 2016. The Chamber of Representatives and the Senate have passed different versions of bill and the approved texts of the
See MoreColombia announces deadlines for filing tax returns
According to official gazette of 22 December 2016, a Decree 2105 was published that announces the deadlines for filing tax returns for 2017. The Decree 2105 of 2016 also sets out tax compliance rules and requirements to provide information
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