In Colombia there are taxes at national and regional level. The national taxes apply to all natural or legal persons resident in the country and regional taxes are determined by each department or municipality under the parameters set by the law. The main national taxes are the income tax, the income tax for equality (CREE), the value added tax (VAT), and the debit tax. The main municipal and regional taxes are the industry and commerce tax (ICA), the real estate tax and the registration tax.
Tax regulations have incorporated several tax benefits (exemptions, special credits, additional deductions, etc.) which seek to encourage priority sectors for the national economy and improve infrastructure and assets of the country’s companies, which aim to generate more formal employment (Source: Procolombia, Legal Guide 2016).