Tax Bul­let­in No. 8

Feb­ru­ary 2019

We share our Tax Bulletin No. 8 of February 2019 with the latest decisions and opinions released by the Administrative Tribunal of Cundinamarca and the Tax Authority, in connection with national and local taxes, and tax procedure.

The complete Bulletin is found only in Spanish in the below PDF, because of many domestic tax terms we are unable to translate for you. However, please find below the main subjects we will be speaking of in the Bulletin. If you are interested to find out more information, do not hesitate to contact.

1.Normativity

1.1. The Colombian Tax Authority issues resolution 001122 of 2019 indicating the entities and individuals that will voluntarily issue electronic invoices.

1.2. Barranquilla´s mayor issued decree 0119 in February 21st 2019 approving the new local tax code.

2. Concepts 

2.1. The Colombia Tax Authority issued on February 22nd ruling 412 indicating the tax treatment that applies when a Colombian company distributes dividends.

2.2. According to ruling 1447 issued by the Colombian Tax Authority on February 15th  2019, the cloud computing services are not VAT provided several requirements are met.

2.3. The Colombian Tax Authority issued in November 21st, 2018 ruling 33763 indicating the scope of fiscal transparency provided in section 102 of the Colombian Tax Code.

2.4. On January 21st. 2019 the Colombia Tax Authority issued ruling 1416. In this document the Colombian Tax Authority reiterates the agent of a mandate agreement is obliged to issue the invoice.

2.5. In ruling 1439 issued on January the 21st of 2019, the Colombian Tax Authority indicated the scope of the deduction regarding investments in the environment contained in law 1715 of 2014. The ruling clarified how the deduction must be treated for the parties integrating a consortium.

2.6. The Colombian Tax Authority issued on January 16th of 2019 ruling 962. This riling specifies the term that taxpayers have to answer to the information requirements issued by this entity

3. Sentences

3.1.Through the judgment C-056 issued on February 13, 2019, the Colombian Constitutional Court ruled articles literals b) and c) of the second numeral of the section 343 of the Law 1819 of 2016 related to the territoriality of the turnover tax in catalog sales, tele sales, online purchases and electronic sales

3.2. The Colombia Council of State issued judgment 21929 in December 12nd of 2018. In the judgement the Council of State indicated that the notices tax (complementary of the turnover tax) is triggered when notices and logos of a Company lay on commercial premises of third parties. This rule apply when the Company cannot evidence that the logo was set up by a third party.

3.3.The Colombia Council of State issued judgment  21929 in December 12nd of 2018. In the judgement the Council of State indicated that the notices tax (complementary of the turnover tax) is triggered when notices and logos of a Company lay on commercial premises of third parties. This rule apply when the Company cannot evidence that the logo was set up by a third party.

4. Project of decrees and resolutions

4.1. The Colombian Ministry of Finance published several drafts of decrees. The Colombian Government has issued the drafts of decree that regulates some sections of the Colombian tax Code that were modified by law 1943 od 2018. The drafts of the decree would regulate the following matters: (i) exclusion of VAT on goods that are introduced and sold in Guainía, Guaviare, Vaupés, Vichada and Amazonas; (ii) consumption tax on the sale of real estate and; (iii) settlements of tax, customs and foreign exchange litigations.

4.2. The Colombian Tax Authority published a draft of resolutions by means of which the entity would point the individuals or entities obliged to issue electronic invoices. This draft contains the schedule to implement the electronic invoicing mechanism. 

Publication
Boletín No. 8 - Febrero 2019
Download
PDF 1.1 MB

Authors

Natalia Guerrero
Natalia Guerrero
Partner
Bogotá
Helena Salazar
Helena Salazar
Associate
Bogotá
Javier Orozco
Javier Orozco, LL.M.
Associate
Bogotá