Latin America countries are looking to attract business to their
country and Colombia is not an exception but it is one of the most
complex countries for accounting and tax compliance in Latin
America.
With constant legislation changes, companies are challenged when
it comes to understanding new legislation, confusing processes as
well as possibly penalties for non-compliance when operating in
Colombia. The country ranks 6th out of 94 countries as surveyed in
TMF's annual Financial Complexity Index 2018, making it one of
the most complex countries in the world when it comes to accounting
and tax.
Business taxes
There are many taxes that companies doing business in Colombia
may be subjected to. The main taxes are corporate income tax,
presumptive tax which is the same as corporate income tax (CIT) and
it is calculated over the equity from prior period when there is no
liquid CIT, value added tax (VAT), financial transactions tax,
registration tax, real estate
