Colombia VAT compliance update
Sun 1st Sep 2013
The Colombian Tax authorities have provided a new decree ( Decree 1794) last week on a number of VAT compliance issues. These include:
- guidance on the new monthly, quarterly and annual VAT reporting procedures.
- the VAT tax, which is operated like an income withholding tax, is 15%. However, where the taxpayer has been in consistent credit positions for at least six months, this may be reduced to 10%.