Colombia

Colombia

Increases the corporate income tax rate

14 Sep 2021

On 14 September 2021, the Government of Colombia sanctioned new legislation approved by Congress. Among other measures, the Social Investment Law ("Ley de Inversión Social No. 2155") reforms the corporate tax regime.

Under the new law, the corporate income tax rate will be raised from 30% to 35% starting from 2022. A special regime will apply to financial firms, for which a 38% rate will be applied on a temporary basis, until 2025.

The new corporate tax rates will come into effect in 2022.

Nature of measure:
  • Treatment and operation
Type:
  • Treatment and operation (Other)
Industry:
  • Not industry specific
  • Services (Financial and insurance activities)
Inward FDI:
No
Outward FDI:
No
Sources: