What are tax returns in Colombia?

What are tax returns in Colombia

The importance of tax advisory in Colombia lies in the fact that they advise you to carry out fundamental procedures for the legality of business. In this case it is the tax returns. In Colombia, these are private documents that are used to determine the taxes that a person or company must pay. In this case, the person, whether natural or legal; it is known as a taxpayer.

What are the tax returns that you must file in Colombia?

The purpose of the return is for the person to declare what they have, what they earn and what is spent in order to calculate their contributions. This information only concerns the State and the individuals with whom the person or company has specific relationships. Accounting services in Colombia can help you prepare the following tax declarations:

  1. The income tax declaration: this declaration must be carried out by people who meet the requirements established by law. It is prepared annually.
  2. Declaration of the acquired value tax (VAT) on sales: this declaration must be made by the tax authorities. It is usually done bimonthly, in the event that the taxpayer has low income the statement is to be prepared every four months.
  3. Withholding tax declaration at source: this declaration is made by the withholding agents every month.
  4. Stamp duty declaration: this is carried out for the documents that the law determines must be paid.
  5. Declaration for the payment of the tax for equity (CREE).
  6. Declaration of assets abroad: this must be done annually.

How the income tax statement is prepared

Tax declarations are filed before DIAN. For this, this entity has arranged various forms for the different types of taxpayers. It is important to know what tax declarations require the signature of an accountant in Colombia.

Article 578 of the Colombian Tax Code is the one that determines who needs to file taxes. It is important that you know that not everyone should pay taxes in the country, so it is important that you seek the advice of an expert to know if you should do so.

Online tax filing

In order to simplify the application of tax requirements, DIAN allows to file tax returns virtually. This is set forth in Article 579 of the Colombian Tax Code. There you will find if you are eligible to file online.

The importance of accounting services in Colombia for tax returns

Failure to comply with tax obligations and responsibilities is an event that can trigger serious legal repercussions. Remember that these declarations respond to a specific way, time and place that must be followed for the declaration to be filed correctly. Therefore, good advice from an accountant with experience in the area of ​​your interest is essential.

The forms to declare according to the type of taxpayer

Form 110 is prescribed for companies to file tax. It is also used by companies that do not file income tax but do declare income and assets. Likewise, this form is used by persons who are not residents in Colombia for legal purposes. Persons who meet the requirements to pay taxes must fill out form 210 before DIAN.

We hope that this information will be useful to you to resolve any doubts you may have regarding your tax returns. In the same way, we invite you to deepen and hire a good advice so that you avoid setbacks.


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