Colombia's tax agency proposed a 1.5% withholding tax on electronic payments, exempting credit/debit transactions and certain natural persons. Decree 1,066 enables information sharing for determining tax obligations.
Colombia Outlines New Tax Policy for Electronic Transactions
Public
Other countries
Author: Ema Stamenković
Category:
General information
Views:
21
Content accuracy validation date:
03.11.2025
Content accuracy validation time:
09:00h
A statement outlining plans to implement a new withholding tax on specific electronic payments was released by Colombia's tax agency.
Recently, a draft regulation was made available for public comment on a proposal to apply the same 1.5 percent withholding tax rate that is currently exempt for payments made with credit and debit cards to electronic payments.
According to the tax agency, the withholding tax only applies to payments or account credits that may be considered taxable income for income taxpayers resulting from the sale of goods or the rendering of services. It confirmed that transfers will not be subject to withholding if they do not represent income from the sale of goods or the rendering of services.
Additionally, the tax agency stated that if the recipient of the payment is a natural person exempt from VAT, withholding will not be applied, even if the payment represents taxable income for the taxpayer.
Decree 1,066 was issued on October 15, 2025, to allow the tax agency to share with pertinent taxpayers information about the tax status of recipients. This will help withholding agents to fulfill their duties by enabling them to ascertain whether a withholding tax obligation is present.
Other news from Other countries
Vietnam’s Guidelines for Dispute Resolution in E-Commerce (Expected)
Public
Other countries
Author: Ema Stamenković
Other countries
Author: Ema Stamenković
Article 52 mandates e-commerce platforms establish accessible complaint systems for users, ensuring timely, fair processing based on evidence. Owners must inform complainants of decisions and resolution options. Disputes must follow published contract terms and relevant laws, utilizing negotiation or mediation methods. The Law on E-Commerce (the "Draft Law"), which is anticipated to be presented t... Read more
Handling FTA Audits in the UAE
Public
Other countries
Author: Ema Stamenković
Other countries
Author: Ema Stamenković
Understanding FTA audits is critical for UAE businesses to ensure compliance with VAT, corporate tax, and zakat regulations. Audits trigger from discrepancies in filings, profit fluctuations, unusual refund claims, and more. Legal frameworks grant FTA broad audit powers, with timelines for assessments typically being up to five years. Businesses must maintain extensive records, retain documents fo... Read more
Tax Compliance and Audits in Saudi Arabia
Public
Other countries
Author: Ema Stamenković
Other countries
Author: Ema Stamenković
Saudi businesses now face intensified scrutiny from ZATCA regarding VAT, corporate tax, and zakat filings due to evolving tax frameworks in the Gulf. Audits are risk-driven, focusing on discrepancies and unusual patterns. ZATCA reviews comprehensive financial records and mandates adherence to specific documentation. Audit types include desk, field, and electronic audits. Penalties for non-complian... Read more
Philippines BIR Extends E-Invoicing Deadline to December 31, 2026
Public
Other countries
Author: Ljubica Blagojević
Other countries
Author: Ljubica Blagojević
The BIR has extended the e-invoicing deadline from March 14, 2026 to December 31, 2026 under RR No. 026-2025. The rule applies to e-commerce businesses, large taxpayers, and users of CAS/CBA systems. By the new date, taxpayers must issue e-invoices in XML, JSON, or other BIR-approved formats via accredited systems. Sales data reporting will start once the BIR’s central system becomes operational... Read more
China finalizes unified VAT system — new 2026 law modernizes tax framework
Public
Other countries
Author: Ljubica Blagojević
Other countries
Author: Ljubica Blagojević
China has completed a decades-long shift to a unified VAT system, replacing the former Business Tax (BT). Following OECD recommendations, reforms from 2012–2016 integrated services into VAT, culminating in the VAT Law, passed in 2024 and effective January 1, 2026. The law introduces three VAT rates (13%, 9%, 6%), backed by new implementation rules, the Golden Tax Phase IV system, and nationwide e-... Read more
South Africa: SARS Drafts E-Invoice Laws, Prepares for Mandatory Real-Time Reporting
Other countries
Author: Ljubica Blagojević
On 16 August 2025, South Africa’s Ministry of Finance and SARS published the Draft 2025 Tax Laws Amendment Bill, introducing definitions of electronic invoice, electronic report, and an interoperability framework for secure real-time tax data exchange. A final bill is expected in 2026, with SARS also exploring a Continuous Transaction Control (CTC) model. E-invoicing is currently voluntary but subject to detailed requirements since December 2021. The move signals a shift toward mandatory e-invoicing, aligning with global trends. Businesses should prepare early by upgrading ERP systems, ensuring data quality, and partnering with certified providers to gain efficiency and avoid compliance risks. Read more
Subscribe to get access to the latest news, documents, webinars and educations.
Already subscriber? Login