Collaboration Agreements Do Not Trigger VAT Liability, DIAN Clarifies in 2025 Guidance

• Signing collaboration contracts does not trigger VAT in Colombia.
• The DIAN clarified this in Concept 952 of June 25, 2025.
• Collaboration agreements aim for mutual cooperation, not taxable transactions.
• VAT applies only if taxable activities, like sales or services, occur during contract execution.
• The contract itself does not generate VAT, but taxable acts resulting from it do.

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.

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