In Colombia, personal income taxes are known as renta personas naturales, and income tax filing is known as declaración de renta. The tax filing season in Colombia is much later than in the U.S., most notably, it starts in August for filing income taxes for the prior year.
For 2025, during the month of January, the Dirección de Impuestos y Aduanas Nacionales (DIAN), Colombia’s tax authority, published the official tax calendar, defining the filing dates for various taxes, including personal income tax. If you are from the U.S., you can think of DIAN as the Colombian equivalent of the IRS.
We highly recommend consulting a Colombian tax specialist if you believe you need to file income taxes in Colombia or are considering moving to the country to understand the tax implications.
Income Tax Service in Colombia
Income Tax Calculation:
Calculate your taxable income, deductions, and applicable tax rates.
Timely Submission:
Filing your completed income tax declaration on time with the DIAN.
Beware that there is a lot of out-of-date and inaccurate information about Colombian income taxes in English found on the Internet.
For example, some websites still claim that expats with residency status in Colombia aren’t taxed on worldwide income until they have been a tax resident for five years. However, this information has been outdated since 2013. Currently, you become a tax resident in Colombia and are required to file income taxes if you reside in the country for more than 183 days within a 12-month period.
For this article, we will use an example exchange rate of $4,500 Colombian pesos to the US dollar. The UVT for 2025 is 49,799 Colombian pesos.
Who Needs to File Colombian Income Taxes?
You are considered a tax resident in Colombia if you stay in the country for more than 183 total days during a year, whether this time is continuous or not.
In addition, a year for determining tax residence is any 365 days. It’s not necessarily a calendar year and can even straddle two years. For example, if you were in Colombia for 130 days in the last six months of 2023 and then spent 53 days in the first six months of 2024, you would be considered a Colombian tax resident for 2024.
If you are considered a Colombian tax resident and during 2024 you meet any of the following conditions, you must file income tax in Colombia in 2025:
- Earned income during the year 2024 for a value greater than 1,400 UVT, which is equivalent to $69,718,600 Colombian pesos or $15,493 USD aproxximately.
- Made purchases or total consumption during 2024 with Colombian financial products for a value greater than 1,400 UVT, equivalent to $69,718,600 Colombian pesos or $15,493 USD. aproxximately
- Made purchases during 2024 with Colombian credit cards for a value greater than 1,400 UVT, equivalent to $69,718,600 Colombian pesos or $15,493 USD aproxximately.
- Made movements in Colombian bank accounts, deposits, or financial investments in Colombia during 2024 for a value greater than 1,400 UVT, equivalent to $69,718,600 Colombian pesos or $15,493 USD aproxximately.
- If as of December 31, 2024, your net worth was greater than 4,500 UVT, which is equivalent to $224,095,500 Colombian pesos or $49,799 USD aproxximately.
However, if you are not a tax resident in Colombia, you will only have to file income tax in 2025 if you meet any of the following conditions:
- During 2024, your income obtained in Colombia was greater than 1,400 UVT (equivalent to $69,718,600 COP or $15,493 USD) and the payer did not withhold at source.
- If as of December 31, 2024, your net worth in Colombia was greater than 4,500 UVT, equivalent to $224,095,500 COP or $49,799 USD.
If you did not meet any of the above conditions, you do not have to file income tax in Colombia in 2025.
What Incomes are Taxed in Colombia?
Colombia taxes the worldwide income of tax residents, while non-residents are taxed only on income sourced within Colombia. If you were a tax resident of Colombia in 2024 and your worldwide income was $15,493 USD or higher during that year, you are technically required to file income taxes in Colombia for 2024.
Most types of income are subject to taxation in Colombia, including salaries and rental income. Foreign pensions and retirement income are also taxable according to a ruling from DIAN. However, Colombian pensions are exempt from income tax up to a certain limit. Since 2023, foreign pensions are also exempt from taxation. Additionally, 25% of labor income (up to a specified limit) is exempt from taxation.
Capital gains, including inheritances, gifts, profits from the sale of stocks, and real estate sales, are taxed in Colombia at a rate of 15%. However, gains from the sale of stocks on the Colombian exchange are exempt, provided that the stocks do not represent more than 3% of the total shares of the Colombian company.
Colombia also has a wealth tax, which has been in effect since 2023. This tax applies to the following individuals:
Additionally, Colombia does not allow joint tax filings. Each individual is required to file separately if they meet the filing requirements.
Are any Penalties for Not Filing Income Taxes in Colombia?
I have met some expats living full-time in Colombia who do not file taxes, even though they are likely required to do so. Be aware that there are penalties for failing to file when required, and these can be quite severe. This applies even if you don’t owe taxes but are still obligated to submit a tax return.
Colombian tax law specifies how penalties are calculated for failing to file, filing late, or submitting returns with errors. The penalty amount varies depending on the case, but according to the law, it can never be lower than approximately $110 USD for the year 2025.
Additionally, if you plan to become a dual citizen in Colombia—which is possible after holding a resident visa for five years—one requirement is to demonstrate that you have been filing income tax returns in Colombia.
When to File Colombian Income Taxes?
Your filing date for Colombian income taxes is based on the last two digits of your Colombian tax ID number, the Número de Identificación Tributaria (NIT). This can be found on a DIAN form called the Registro Único Tributario (RUT).
For the 2025 tax year, the filing dates for income taxes and the foreign asset tax will begin on August 8, 2025, and run until October 20, 2025. The filing dates for the wealth tax for the taxable year 2025 are May 12 to 26, 2025.
The entire schedule of DIAN filing dates is available here. Your individual filing date may change each year based on the last two digits of your NIT. For example, some years, my filing date was in October; this year, it is in August.
How to Get a RUT (and NIT Number), the equivalent to TIN in USA?
To get a RUT form, you must schedule a face-to-face or virtual appointment with a DIAN official here. On the RUT form, you will receive your NIT number, which is your Colombian tax identification number. The last two digits of your NIT determine your required filing date. You can read an expert blog about RUT that expatgroup.co wrote some time ago.
When scheduling your appointment, you will receive an email containing information and requirements that you must meet before your appointment.
For the appointment, you must bring your original identification (identity card or passport), your appointment number, and if the appointment is in person, a copy of your identification (the front and back of your identity card or the data page of your passport).
In Medellín, to obtain a RUT form, you need to go to the DIAN office in the Alpujarra administrative complex in El Centro. The address is Carrera 52 # 42-43. DIAN’s office is located in the basement of one of the buildings. Any security guard will be able to direct you to the right building.
Arrive 15 minutes early for your appointment. When you arrive at DIAN, they will ask for your appointment number. Typically, you will need to wait outside until your appointment time is called. Then, you’ll enter the building and receive a number at the reception to wait your turn. Watch the monitors for your number.
You may need more than just the RUT form at DIAN. For some tax forms, DIAN uses electronic signatures. For example, if you need to file a declaration of your assets outside of Colombia, you will also need to set up this electronic signature. The entire process at DIAN to obtain a RUT takes about 30 minutes and requires moderate knowledge of Spanish.
For expats, the best decision is to hire a tax advisor to obtain the RUT. They will ask you to sign a power of attorney, which you must sign before a notary, along with a copy of your ID card. They will handle everything else.
What Are the Colombia Income Tax Rates?
Colombia has a progressive income tax system for individuals. This means that the rate of tax you pay depends on the amount of income you earn. The more you earn, the higher the rate applied to your income.
For tax residents, income is taxed based on the total amount of taxable income earned during the year. The tax rates apply to both Colombian and worldwide income. Non-residents are taxed only on income earned within Colombia. The rates are updated periodically, so it’s essential to understand the specific brackets that apply for each tax year.
2025 Income Tax Rates for Individuals
| Income Range (COP) | Tax Rate | Tax Type |
|---|---|---|
Up to 1,090 UVT (approx. $54,490,000) |
0% |
Exempt or No Tax |
1,091 to 1,700 UVT (approx. $85,400,000) |
19% |
Low Tax Bracket |
1,701 to 4,100 UVT (approx. $204,680,000) |
28% |
Medium Tax Bracket |
4,101 to 8,600 UVT (approx. $428,660,000) |
33% |
High Tax Bracket |
Over 8,600 UVT |
35% |
Highest Tax Bracket |
Unlike in the United States, Colombia does not have a separate tax table for married couples filing jointly. Each person must file their taxes individually. However, Colombian tax law allows for a limited deduction for dependents, which can reduce your taxable income.
Additionally, there are other legal deductions available that may be applied when filing your tax return. These deductions vary and can include certain expenses related to health, education, and pensions, among others. It’s advisable to consult a tax professional to understand which deductions you may qualify for.
How Can I Calculate Income Taxes in Colombia?
To determine your Colombian income tax, you start with your gross income and apply various deductions. These deductions are classified into three categories:
Income
Not Constituting Taxable Income
Deductions
Exempt Income
After subtracting these from your gross income, the remaining amount is your taxable income, which is then subject to Colombian income tax rates.
1. Income Not Constituting Taxable Income
These amounts are subtracted from your gross income before applying deductions:
- Mandatory pension contributions
- Mandatory health contributions
- Mandatory contributions to the Pension Solidarity Fund
- Voluntary contributions to pension funds, limited to 25% of income and up to a maximum of 2,500 UVT per year, equivalent to $124,497,500 COP.
2. Deductions
These deductions reduce your taxable income:
| Deduction Type | Maximum Limit (Monthly) | Equivalent in COP |
|---|---|---|
Mortgage loan interest |
100 UVT |
$4,979,900 |
Expenses for dependents |
32 UVT |
$1,593,568 |
Payments for prepaid healthcare |
16 UVT |
$796,784 |
3. Exempt Income
These contributions are exempt from taxation:
| Exempt Income Type | Maximum Limit (Annual) | Equivalent in COP |
|---|---|---|
Contributions to voluntary pension funds |
30% of labor or taxable income, up to 3,800 UVT |
$189,236,200 |
Contributions to AFC savings accounts |
30% of labor or taxable income, up to 3,800 UVT |
$189,236,200 |
After applying non-taxable income, deductions, and exempt income, the final result is your taxable net income. This amount determines your Colombian income tax, based on the applicable tax rate table.
Note: It is highly recommended to consult a tax specialist to ensure that all applicable deductions and exemptions are correctly applied according to current regulations.
Finding a Colombian Tax Accountant
If you need to file a Colombian income tax return, you should talk to a Colombian tax advisor. A tax advisor can help to navigate all of the Colombian tax regulations, determine what things you can deduct, and help you file.
Medellin Guru recommends using the expatgroup.co to get help filling your Colombian Tax Income.
Income Tax Service in Colombia
Income Tax Calculation:
Calculate your taxable income, deductions, and applicable tax rates.
Timely Submission:
Filing your completed income tax declaration on time with the DIAN.
FAQs about income tax in Colombia
Determining whether you are a tax resident in Colombia is crucial because it affects several key aspects of your tax obligations. Your residency status will determine your applicable income tax rate, the income subject to taxation in Colombia, and the thresholds that define whether you are required to file additional taxes.
Understanding these differences is essential to ensure compliance with Colombian tax regulations and avoid unexpected liabilities. Below, we will explore each of these aspects in detail.
For bank statements, credit card statements, and other account statements in a foreign currency, you must use the official exchange rate as of December 31, 2024 (value to be confirmed by DIAN).
You have two options:
1.Use the official exchange rate on December 31, 2024, to convert the total amount for the year.
2. Use the official exchange rate on the exact date of each transaction (requires detailed records for every transaction).
If you earn a salary in a foreign currency, you can:
•Convert your annual total using the December 31, 2024 exchange rate.
•Convert each salary payment using the exchange rate on the date it was received (requires 24 calculations for bi-monthly payments).
You can access historical exchange rates from the Banco de la República de Colombia here.
Medellin Guru's comprehensive visa and passport series
The Colombian visa changes that went into effect in October 2022 were significant. So, on the Medellin Guru site, we have a comprehensive series of visa articles that are kept up-to-date and should answer most visa questions. These articles include:
- Colombia Visa Guide: Ultimate Guide How to Get a Colombian Visa
- How to Obtain a Colombian Visa with Up-to-Date Info – an overview of all the Colombian visas
- Popular Colombian Visas for Foreigners: Which Visa is the Most Popular?
- Coronavirus Impacts on Colombian Visas and Tourist Visas
- Visa Agencies: A Guide to Visa Agencies in Medellín and Colombia
- 9Common Colombian Visa Mistakes: How to Avoid Them
We have looked in detail at the nine most popular Colombian visas used by foreigners:
- Digital Nomad Visa
- Retirement visa
- Marriage visa
- Investment visa
- Business Visa
- Resident visa
- Work visa
- Student visa
- Visitor visa
Also, we have looked in detail at three additional Colombian visas, which are less popular for foreigners:
- Rentista visa (annuity visa) – for foreigners with a fixed income
- Beneficiary visa – for relatives of visa holders
- Expertise visa – for professionals
In addition, we have a guide to Colombia tourist visas and how to extend a tourist visa. Also, we have a guide to renewing U.S. passports in Colombia and a guide to obtaining a Colombian passport.
Furthermore, we provide information about travel insurance that meets the insurance requirement for Colombian visas. And we have a guide to how apply for a cedula extranjeria in Colombia and a guide to using notaries in Medellín and Colombia. Finally, Medellin Guru has partnered with a visa agency to offer Colombia visa services.
All of our Colombia visa articles are up to date (2024) and constantly receive updates in 2025.
The Bottom Line: How to File Income Taxes (Declaración de Renta) in Colombia
Moving to Colombia can be tax neutral for some individuals, but this is not always the case. Whether someone needs to pay Colombian income taxes depends on their tax residency status, worldwide income, and applicable deductions. This obligation can also vary from year to year based on individual financial circumstances.
Many expats living in Colombia file Colombian income tax returns, and some end up paying little or no taxes due to deductions, exemptions, and foreign tax credits. However, others may be subject to Colombian income tax, wealth tax, or foreign asset reporting requirements.
For those considering a move to Colombia, it is crucial to understand the tax implications in advance. Seeking advice from a Colombian tax professional is highly recommended to ensure compliance and avoid unexpected tax liabilities.
For reference, the exchange rate used in this blog is based on 2025 figures. However, for tax calculations, the official exchange rate on the date of each financial transaction should always be used.
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