- The Colombian tax authority, DIAN, has issued a decree regarding the taxation of significant economic presence (PES) in Colombia.
- The decree will come into effect on January 1, 2024.
- Non-resident individuals or entities with significant economic presence in Colombia will be subject to income tax on their sales of goods and/or provision of services to customers in Colombia.
- There are specific rules for the commercialization of goods and/or services and the provision of digital services from abroad.
- For commercialization, significant economic presence is determined by deliberate and systematic interaction with 300,000 or more customers in Colombia, displaying prices in Colombian pesos, or earning gross income of 31,300 UVT or more from transactions involving sales to customers in Colombia.
- For the provision of digital services, various types of services are included, such as online advertising, digital content, streaming services, data monetization, online intermediation platforms, digital subscriptions, and management of electronic data.
- The decree aims to ensure that non-resident individuals and entities with significant economic presence in Colombia contribute to the country’s tax revenue.
Source: amezquita.com.co
Note that this post was (partially) written with the help of AI. It is always useful to review the original source material, and where needed to obtain (local) advice from a specialist.
