Prepared By Julián López
Decree 0174 of February 13, 2025 regulates articles 70 and 73 of the Tax Statute and modifies provisions of Decree 1625 of 2016 on the adjustment of the tax cost of fixed assets. For its part, Decree 0175 of February 14, 2025 establishes tax measures to finance the expenses derived from the state of internal commotion in the Catatumbo, Cúcuta and some municipalities Of Caesar.
Decree 0174 of February 13 2025 regulates articles 70 and 73 of the Tax Statute and modifies provisions of Decree 1625 of 2016 on the adjustment of the tax cost of fixed assets.
For its part, Decree 0175 of February 14 2025 establishes tax measures to finance the expenses derived from the state of internal commotion in Catatumbo, Cucuta and some Municipalities of Cesar.
Decree 0174 of February 13 2025 establishes that taxpayers may adjust the cost of fixed assets for the taxable year 2024 by 10.97%.
Additionally, the decree indicates that to determine the occasional income or gain from the disposal of urban and/or rural real estate and shares or contributions during the taxable year 2024, natural persons can take as a tax cost the value obtained by multiplying the tax cost of the fixed assets sold by the adjustment figure that appears compared to the year of acquisition thereof according to the table included in the decree which considers the percentage increase in the value of the root property or the percentage increase in the consumer price index.
Decree 0175 of February 14 2025 establishes extraordinary tax measures to finance the expenses derived from the state of internal commotion in Catatumbo, Cúcuta and Municipalities of Cesar.
Although the state of emergency was decreed for 90 days, the decree establishes its validity until December 31, 2025. The objective of this Decree is to generate additional income to address the crisis in Catatumbo and avoid the expansion of the violence in the region.
Mainly 3 measures were taken.
- VAT on online games of chance and chance: Games of chance operated exclusively over the Internet, either from the national territory or from abroad, are taxed with 19%.
- Special Tax for Catatumbo: taxes 1% on the extraction of hydrocarbons and Coal at the time of the first sale or export.
- Stamp duty: From the fifth business day of publication of the decree, a rate of 1% applicable to public instruments and private documents is temporarily established, including securities, that are granted or accepted in the country, or that are granted outside the country but that are executed in the national territory or generate obligations in it, in which the constitution, existence, modification or extinction of obligations is stated, as well as their extension or assignment, whose amount is greater than 6,000 UVT ($298,794,000 in 2025), in which it intervenes as grantor, acceptor or Subscriber a public entity, a legal or assimilated person, or a natural person who has the status of merchant, who in the immediately preceding year has gross income or gross assets greater than 30,000 UVT ($1,493,970,000 in 2025). However, the current rule applicable to the Disposal of real estate whose value exceeds 20,000 UVT ($995,980,000 in 2025) to which the tax is applied based on a progressive table with marginal rates of 1.5% and 3%.
Do not hesitate to contact Brick Abogados if you have any concerns or if you would like more information on the topic discussed above.
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This document is for informational purposes only and does not constitute legal advice, nor does it engage the responsibility or professional opinion of Brick Abogados.