Key Benefits:
LAW 788 OF 2002
(December 27)
Official Journal No. 45,046 of 27 December 2002
By which rules on the tax and criminal matters of national and territorial order are issued; and other provisions are dictated.
COLOMBIA CONGRESS
DECRETA:
RULES FOR THE CONTROL OF TAX EVASION AND FRAUD.
ARTICLE 1o. SANCTION FOR ADMINISTRATORS AND LEGAL REPRESENTATIVES. Add the Tax Statute with the following article:
" Article 658-1. Sanction for administrators and legal representatives. Where in the accounts or in the tax declarations of the taxpayers there are punishable irregularities relating to the omission of taxed income, double accounting and inclusion of non-existent costs or deductions imsourced, ordered and/or approved by the representatives who must perform formal duties as referred to in Article 572 of this Statute, shall be punished with a fine equivalent to twenty (20%) of the penalty imposed on the taxpayer, without exceeding the sum of Two hundred (200) monthly minimum legal salaries in force, which may not be covered by its representation.
The penalty provided here will be imposed by independent resolution, prior to the statement of objections, which will be notified within two (2) years following the notification of the administrative act in which the Penalty for the taxpayer that it represents. The administrator or representative shall have the term of (1) month to reply to the said specification. "
ARTICLE 2o. RETURN OF UNRECORDED HOLDS AND UNPAID ADVANCES. Add a paragraph to Article 859 of the Tax Statute, which remains as follows:
" The provisions of this article do not apply in the case of self-withholding, withholding of VAT, withholding for the events provided for in Article 54 of Law 550 of 1999 and advances against the which payment must be credited. "
ARTICLE 3o. DELINQUENT INTEREST IN THE PAYMENT OF TAX OBLIGATIONS. Please modify the incites 1o. and 2o. Article 634 of the Tax Statute, which remain so:
" Taxpayers or those responsible for taxes administered by the Directorate of National Taxes and Customs, including the withholding agents, who do not cancel the taxes, advances and withholding taxes in due time, must liquidate and pay moratorical interest, for each calendar day of delay in payment. "
For this purpose, the entire default interest shall be settled on the basis of the interest rate in force at the time of the respective payment, calculated in accordance with the provisions of the following article.
ARTICLE 4. DETERMINATION OF THE MORATORICAL INTEREST RATE. As amended by Article 635 of the Tax Statute, which remains:
" Article 635. Determination of the rate of moratorical interest. For tax purposes, starting from 1o. In March 2003, the moratorio interest rate will be the average effective rate of usury minus three (3) points, determined on the basis of the certification issued by the Banking Superintendence during the previous quarter. The interest rate referred to in this Article shall be determined by the National Government every four (4) months. "
ARTICLE 5o. NOTIFICATION BY MAIL. Modify article 566 of the Tax Statute, which remains as follows:
" Article 566. Notification by post. The notification by post shall be made by the delivery of a copy of the corresponding act in the address informed by the taxpayer to the Administration.
The Administration may notify the administrative acts that it addresses the first paragraph of Article 565 of this Statute, through any mail service, including e-mail, in terms that I point to the".
ARTICLE 6o. REGISTRATION IN THE PROCESS OF OFFICIAL DETERMINATION. Add the Tax Statute with the following article 719-1, as follows:
" Article 719-1. Registration in the process of official determination. Within the process of determining the tax and imposing sanctions, the respective Tax or Tax Administrator and National Customs will order the registration of the official clearance of review or of the order and of the resolution of duly notified, as appropriate, in public records, in accordance with the nature of the good, in the terms of the regulation.
With the registration of the administrative acts referred to in this article, the goods are affected to the payment of the obligations of the taxpayer.
Enrollment will be in effect until the completion of the co-active recovery administrative process, if applicable, and will be lifted only in the following cases:
1. When the respective obligation is extinguished.
2. When the product of the discussion process the private liquidation will remain firm.
3. Where the official act has been revoked in a governmental or judicial way.
4. When a bank guarantee or insurance policy is provided for the amount determined in the act that is registered.
5. When the person concerned with the registration or a third party to his/her name offers real estate for his or her lien, for an amount equal to or greater than that determined in the registration, prior to the good offered.
In any of the above cases, the Administration shall request the cancellation of the registration to the competent authority within ten (10) working days following the date of the communication of the event that warrants the lifting of the of the annotation ".
ARTICLE 7o. EFFECTS OF REGISTRATION IN THE PROCESS OF OFFICIAL DETERMINATION. Add the Tax Statute with the following article:
" Article 719-2. Effects of registration in the process of official determination. The effects of the enrollment in the article 719-1 are:
1. The goods on which the registration was made constitute a real guarantee of payment of the tax obligation to be charged.
2. The tax administration may actively pursue such assets regardless of whether they have been transferred to third parties.
3. The owner of a well object of the registration must warn the buyer of such circumstance. If you do not do so, you must respond civilly to the same, in accordance with the rules of the Civil Code.
ARTICLE 8o. AUCTION OF GOODS. Modify article 840 of the Tax Statute, which remains:
" ARTICLE 840. REMATE OF GOODS. In the firm of the guarantor, the Administration will carry out the remate of the goods directly or through public or private law entities and will adjudicate the goods in favor of the Nation in case of declaring a desert the auction after the third tender, in terms set by the regulation.
The goods awarded in favor of the Nation and those received in payment for tax debts, may be delivered for administration or sale to the Central de Inversiones S.A. or any entity established by the Ministry of Hacienda y Crédito Público, in the form and terms established by the regulation ".
ARTICLE 9o. BOND OF SOLIDARITY DEBTORS. Add the following paragraph to article 828-1 of the Tax Statute, as follows:
"The executive titles against the principal debtor shall be against the debtor and subsidiary debtors, without requiring the formation of additional individual securities."
INCOME TAX AND SUPPLEMENTARY.
ARTICLE 10. TAXPAYERS OF THE SPECIAL TAX REGIME. Modify the number 4 and add a numeral 5 to article 19 of the Tax Statute, which will remain so:
" 4. Cooperatives, associations, unions, central leagues, financial institutions of a higher degree, mutual associations, auxiliary institutions of cooperatives, cooperative confederations, provided for in the legislation cooperative, monitored by some superintendence or control bodies. These entities will be exempt from income tax and supplementary if 20% of the backwater, taken from the education and solidarity funds referred to in Article 54 of Law 79 of 1988 is invested autonomously and under the control of the of the relevant supervisory bodies, in formal education programmes approved by the Ministry of National Education or by the Ministry of Health, as the case may be.
The net or surplus benefit of these entities will be subject to tax when they are intended, in whole or in part, in a different way than what the current cooperative legislation establishes. The calculation of this net profit or surplus shall be made in accordance with the manner in which the cooperative standard is established.
ARTICLE 11. OTHER CONTRIBUTING ENTITIES. Other contributing entities. Modify article 19-3 of the Tax Statute, which will be as follows:
" Article 19-3. Other income tax payers and complementary ones. They are income tax and complementary taxpayers, Fogafin and Fogacoop.
The income and revenues from the resources that Fogafin and Fogacoop manage in the trust accounts will not be considered for the determination of their income. The same treatment will have the resources transferred by the Nation to Fogafin coming from the General Budget of the Nation destined for the sanitation of public banks, the expenses that are caused by these resources and the transfers that Make the Nation to these entities for the strengthening of the Law 510 of 1999 and Decree 2206 of 1998.
The resulting assets of both the fiduciary accounts administered by Fogafin and Fogacoop, as well as the transfers mentioned above, will not be considered in the determination of the assets of these entities.
The increase in the technical reserve that is constituted according to the accounting dynamics established by the Banking Superintendency will be deductible in the determination of the taxable income.
ARTICLE 12. LIMIT TO NON-CONSTITUTIVE INCOME. Add the Tax Statute with the following article:
" Article 35-1. Limit to non-constitutive income income. Non-cash income or occasional gain, which deals with items 36-1, 36-4, 37, 43, 44, 46, 54, 55 and 56 of the Tax Statute, are limited in the following percentages:
70% for the taxable year of 2003
50% for the taxable year of 2004
20% for the taxable year of 2005
0% for the taxable year of 2006 ".
ARTICLE 13. LIMIT OF COSTS AND DEDUCTIONS. Add the Tax Statute with the following article:
" Article 177-1. Limit of costs and deductions. For the purposes of determining the liquid income of taxpayers, the costs and deductions attributable to non-constitutive income from income and occasional income and exempt income are not acceptable.
PARAGRAFO. The limitation provided for in this article will not be applicable to the revenue that is covered by items 16 and 56 of Law 546 of 1999, in the terms set out there and until 31 December 2006. "
ARTICLE 14. EXEMPT INCOME LIMIT. Add the Tax Statute with the following article:
" Article 235-1. Limit of exempt income. The exempt rents that are treated by 211 paragraph 4o., 209, 216, 217, 219, 221 , and 222 statule_statual; articles 14 to 16 of Law 10 of 1991, 58 of Law 633 of 2000 and 235 of Law 685 of 2001, are limited in the following percentages:
70% for the taxable year of 2003
50% for the taxable year of 2004
20% for the taxable year of 2005
0% for the taxable year of 2006 ".
ARTICLE 15. OTHER EXPENSES INCURRED IN THE NON-DEDUCTIBLE EMPLOYMENT RELATIONSHIP. Add the Tax Statute with the following article:
" Item 87-1. Other expenses incurred in the non-deductible employment relationship. Taxpayers may not apply as a cost or deduction for payments whose purpose is to remunerate in some form and which have not been part of the withholding tax on the source for labour income. Except for the former provision, non-constitutive or exempt income payments for the worker, in accordance with the tax rules included in the article 387 of the Tax Status ".
ARTICLE 16. COST OF INCORPORATED GOODS FORMED. Modify Article 75 of the Tax Statute, which will be as follows:
" ARTICLE 75. COST OF THE INCORPORATED GOODS FORMED. The cost of the incorporated goods formed by the contributors concerning industrial, literary, artistic and scientific property, such as patents of invention, brands, good will, copyright and other intangibles, is presumed constituted by thirty percent (30%) of the value of the disposal.
In order to proceed with the cost provided for in this article, the respective intangible must be included in the income statement of the taxpayer corresponding to the year immediately preceding the taxable amount and be duly supported. by means of technical support. '
ARTICLE 17. EXEMPT WORK INCOME. Modify the item 10 of Article 206 of the Tax Statute, as follows:
" 10. Twenty-five percent (25%) of the total value of labor payments, limited monthly to four million pesos ($4,000,000) (Value year base 2003). "
ARTICLE 18. OTHER EXEMPT INCOME. Add the Tax Statute with the following article:
" Article 207-2. Other exempt income: It is exempt income generated by the following concepts, with the requirements and controls established by the regulation:
1. Sale of electricity generated on the basis of wind, biomass or agricultural waste, carried out only by generating companies, for a term of fifteen (15) years, provided that the following requirements are met:
a) To process, obtain and sell carbon dioxide emission certificates, in accordance with the terms of the Kyoto Protocol;
b) That at least fifty percent (50%) of the resources obtained by the sale of such certificates are invested in works of social benefit in the region where the generator operates.
2. The provision of the river transport service with boats and low-draught platters, for a term of fifteen (15) years from the time of this law.
3. Hotel services provided in new hotels that are built within fifteen (15) years of the term of this law, for a term of thirty (30) years.
4. Hotel services provided in hotels that are remodeled and/or extended within fifteen (15) years following the validity of this law, for a term of thirty (30) years. The exemption provided for in this number will correspond to the proportion that represents the value of the remodeling and/or expansion in the tax cost of the remodelled and/or expanded building, for which the prior approval of the project is required by the Urban Curatorate and Municipal Mayor's Office, home of the renovated and/or expanded building. In all cases, for the purposes of approving the exemption, the Ministry of Development's certification will be required.
5. Ecotourism service certified by the Ministry of the Environment or competent authority in accordance with the regulations that for the purpose is issued, for a term of twenty (20) years from the time of the present law.
6. Use of new forest plantations, including guadua, according to the rating to be issued by the regional autonomous corporation or the competent entity for the purpose.
Under the same conditions, taxpayers will enjoy the exemption from the date of entry into force of this Law to make investments in new sawdust directly linked to the use of this law. numeral.
They will also enjoy the exemption of this number, the taxpayers who at the date of entry into force of this law, have plantations of timber trees duly registered with the competent authority. The exemption is subject to the technical renewal of crops.
7. New leasing contracts with option to buy (leasing), buildings built for housing, with a duration of not less than ten (10) years. This exemption will operate for contracts entered into within ten (10) years following the validity of this law.
8. The new medicinal products and software, elaborated in Colombia and protected by new patents registered with the competent authority, provided they have a high content of scientific and technological national research, certified by Colciencias or whoever does his or her times, for a term of ten (10) years from the time of this law.
9. The usefulness in the disposal of pregod for purposes of public utility referred to in literals (b) and (c) of article 58 of Law 388 of 1997 which have been contributed to autonomous assets they are created for this exclusive purpose, for a term equal to the execution of the project and its liquidation, without exceeding in any case of ten (10) years. The autonomous assets indicated shall also be exempt from this exemption.
10. The provision of seismic services for the hydrocarbon sector, for a term of 5 years counted from the time of this law. "
ARTICLE 19. PRESUMPTIVE INCOME EXCLUSIONS. Modify the seventh indent of Article 191 of the Tax Statute and add a paragraph, as follows:
" From 1o. of January 2003 and for the term of validity of the exemption, the assets linked to the activities referred to in Articles 1, 2, 3, 6 and 9 of Article 207-2shall be excluded from the income presumptive that it treats article 188 of this Statute, in the terms that the regulation establishes.
PARAGRAFO. The excess of presumptive income on ordinary liquid income may be offset against the ordinary liquid income determined within the following five (5) years, adjusted for inflation. "
ARTICLE 20. INCOME NOT CONSTITUTING INCOME OR OCCASIONAL GAIN. Article 52 of the Tax Statute is thus:
" Article 52. Incentive for Rural Capitalization (ICR). The Rural Capitalization Incentive (ICR) provided for in Law 101 of 1993 does not constitute income or occasional gain. "
ARTICLE 21. ADJUSTMENT OF OTHER NON-CASH ASSETS. As amended by Article 338 of the Tax Statute, which remains:
" Article 338. Adjustment of other non-cash assets. In general, all other non-cash assets that do not have a special adjustment procedure, understood by those goods or rights that acquire a higher nominal value due to the demerit of the same, should be adjusted according to the PAAG. purchasing value of the currency ".
ARTICLE 22. EFFECTS OF NON-ADJUSTMENT. Modify the second paragraph of article 353 of the Tax Statute, which remains:
"When a non-cash asset has not been subject to inflation adjustment in the financial year, its net equity value shall be excluded for the purposes of the adjustment of the liquid assets."
ARTICLE 23. PRESUMPTIVE INCOME IN A COMPANY IN LIQUIDATION. amend paragraph 4. Article 191 of the Tax Statute, which remains as follows:
" Public service companies that develop complementary energy generation activities are not subject to presumptive income; the official entities that provide services for the treatment of wastewater and sanitation; companies in agreement; companies in liquidation for the first three (3) years, entities subject to supervision and supervision of the Banking Superintendence which have been declared to be liquidated or have been the subject of a takeover, for the purposes referred to in (a) or (g) of Article 114 of the Organic Statute of the Financial System; the land banks of districts and municipalities destined to be urbanized, and for the taxable years 2001, 2002 and 2003, the companies Mortgage portfolio securitizers. "
ARTICLE 24. COMPENSATION FOR CORPORATE TAX LOSSES. As amended by Article 147 of the Tax Statute, which remains:
" Article 147. Compensation for corporate tax losses. Companies may compensate for fiscal losses adjusted for inflation, determined from the taxable year 2003, with the ordinary liquid income obtained within the eight (8) of the following taxable periods, without exceeding the annual 25% (25%) of the value of the tax loss and without prejudice to the presumptive income of the financial year. The losses of the companies will not be transferable to the partners.
The acquiring company or resulting from a merger process, can compensate for the ordinary liquid income it obtains, the tax losses incurred by the merged companies, up to a limit equal to the percentage of participation of the the assets of the merging companies within the assets of the acquiring or resulting company. The compensation for losses incurred by the merging companies referred to in this Article must be made in the light of the taxable periods to compensate already and the annual limits provided for in the law in force in the period in which the tax loss was generated and declared.
Companies resulting from a division process may compensate for the ordinary liquid income, the tax losses incurred by the company being divided, up to a limit equal to the share of the equity of the the resulting companies in the assets of the company that was spun off. The compensation for losses incurred by the company which was split up must be made in the light of the taxable periods to compensate for the losses already passed and the annual limits provided for in the law in force in the period in which it was generated and declared the tax loss.
If the company that is spun off does not dissolve, the company may offset its tax losses incurred before the excision process, with the ordinary liquid income, up to a limit equal to the percentage of the equity held by the company. after the split process. The compensation for losses incurred by the company being divided must be made in the light of the taxable periods to compensate for the losses already passed and the annual limits provided for in the law in force in the period in which it was generated and declared the tax loss.
In all cases, the compensation of tax losses in the merger and division processes with the ordinary liquid income obtained by the absorbing or resulting companies as the case may be, will only be obtained if the economic activity the companies involved in such processes were the same before the respective merger or division.
Tax losses arising from non-cash income and occasional income, and in costs and deductions that do not have a causal link to the generation of taxable income, may in no case be compensated by the Taxpayer's liquid income.
The term of firmness of income statements and their corrections in which tax losses are determined or offset shall be five (5) years from the date of their filing.
PARAGRAFO TRANSIENT. Companies may compensate for tax losses recorded at 31 December 2002 in any taxable year or period, with the income that they obtain within the five taxable periods following the period in which they were recorded. '
ARTICLE 25. PENALTY FOR NOT CREDITING THE TIMELY PAYMENT OF PARAFISCAL CONTRIBUTIONS. amend Article 664 of the Tax Statute, which remains:
Article 664. Penalty for not crediting the payment of parafiscal contributions. The lack of knowledge of the deduction for wages, for not crediting the payment of the contributions to the Social Insurance Institute and the entities referred to in the Law 100 of 1993, to the National Learning Service, to the The Colombian Family Welfare Institute and the Family Compensation Banks, of those who are required to make such contributions, will be made by the Tax Administration, if it is not credited that the payment was made prior to the presentation of the corresponding income tax return and supplementary tax.
The National Tax and Customs Directorate will develop oversight programs to verify the compliance of taxpayers with parafiscal contributions and to proceed with the rejection of costs and deductions, in accordance with the provisions of the in this article.
ARTICLE 26. NATURAL PERSONS WHO ARE WITHHOLDING AGENTS. amend Article 368-2 of the Tax Statute which remains as follows:
Article 368-2. Natural persons who are retention agents. Natural persons who have the quality of traders and who in the year immediately above have a gross patrimony or gross income exceeding five hundred million pesos ($500,000,000), (base year 2002) will also have to practice source retention on account payments or credits that are made by the concepts referred to in 392, 395 , and 401statuet_statuet_statual_statual_statual; provisions in force on each of them.
ARTICLE 27. TAX BASE ON THE NATIONAL STAMP DUTY. amend the first paragraph of Article 519 of the Tax Statute, which remains as follows:
" The national stamp duty, shall be caused at the rate of one point five percent (1.5%) on public instruments and private documents, including securities securities, which are granted or accepted in the country, or which are granted outside the country but which are carried out in the national territory or which generate obligations in the territory, in which the constitution, existence, modification or extinction of obligations is recorded, as well as their extension or transfer, the amount of which is greater than 50 Millions of pesos ($50,000,000), (value year base 2002), in which it intervenes as a grantor, accepting or subscribing a public entity, a legal person or an equivalent person, or a natural person who has the quality of a trader, who in the year immediately preceding has a gross income or gross equity of more than five hundred millions of pesos ($500 ' 000,000), (base year 2002). "
ARTICLE 28. TRANSFER PRICES. Add Chapter XI to Title I of the Tax Statute, which will be as follows:
" CHAPTER XI
Transfer Prices
Item 260-1. Transactions with economic partners and related parties. Income tax payers, who conduct transactions with economic partners or related parties, are obliged to determine, for the purposes of income tax and supplementary income tax, their ordinary and extraordinary income. and its costs and deductions, considering for those operations the prices and profit margins that would have been used in comparable transactions with or between independent parties.
The tax administration, in development of its verification and control powers, will be able to determine the ordinary and extraordinary revenues and the costs and deductions of the operations carried out by income tax payers. and complementary to related economic or related parties, by determining the price or profit margin from prices and profit margins in comparable transactions with or between economically unrelated parties, in Colombia or on the outside.
For the purposes of this Title, it is considered that there is economic linkage when a relationship of subordination or control or business group situation is present in accordance with the assumptions provided for in the href="market_code pr007.html#260"> 260 and 261 of the Commerce Code and the precept in article 28 of Act 222 of 1995, or when the cases of the 450 and 452 of the Tax Statute.
The control may be individual or joint, without participation in the capital of the subordinate or exercised by an array domiciled abroad or by natural persons or non-societarian nature.
The linkage is preached by all the societies that make up the group, even though its parent is domiciled abroad.
The transfer prices referred to in this Title only produce effects on the determination of income tax and supplementary.
Item 260-2. Methods for determining the price or profit margin in transactions with economic linked or related parties. The price or profit margin in the transactions concluded between economic partners or related parties may be determined by the application of any of the following methods, for which it shall be taken into account which is more appropriate according to the characteristics of the analyzed transactions:
1. Comparable price not controlled. The non-controlled comparable price method consists in considering the price of goods or services that would have been agreed between independent parties in comparable transactions.
2. Resale price. The resale price method consists in determining the purchase price of a good or the provision of a service between economic partners or related parties, by multiplying the resale price of the goods or the service, to parties independent, by the result of decreasing the unit, the percentage of gross profit obtained between independent parties in comparable transactions. For the purposes of this paragraph, the gross utility percentage shall be calculated by dividing the gross utility between net sales.
3. Additional cost. The added cost method consists in multiplying the cost of goods or services by the result of adding to the unit the percentage of gross ad used between independent parts in comparable operations. For the purposes of this numeral, the gross utility percentage shall be calculated by dividing the gross utility between the net sales cost.
4. Utilities partition. The profit-sharing method consists of assigning the operating profit obtained by economic linked or related parties, in the proportion that would have been allocated with or between independent parties, according to the following principles:
(a) The overall operating utility shall be determined by the sum of the operating profit obtained in the transaction for each of the economic linked or related parties;
(b) The overall operating profit shall be allocated to each of the economic partners or related parties, taking into account, inter alia, the volume of assets, costs and expenses of each of the economic partners, in respect of transactions between those parts.
5. Utility partition residual. The residual profit-sharing method is to allocate the operating profit obtained by economic linked or related parties, in the proportion that would have been allocated between independent parties, in accordance with the following rules:
(a) The overall operating utility shall be determined by the sum of the operating profit obtained in the transaction for each of the economic linked or related parties;
b) The global operation utility will be allocated according to the following parameters:
(1) The minimum utility corresponding, where applicable, to each of the economic partners or related parties shall be determined by applying any of the methods referred to in numerals 1 to 6 of this Article, without taking into account Account for the use of significant intangible assets.
(2) The residual utility shall be determined, which shall be obtained by decreasing the minimum utility referred to in the numeral (1) of the overall operation utility. This residual utility shall be distributed among the economic partners involved or related parties in the transaction taking into account, among other elements, the significant intangibles used by each of them, in the proportion in which it would have been distributed among independent parties in comparable operations.
6. Transaction utility transactional margins. The transaction utility transaction margin method consists in determining, in transactions between economic linked or related parties, the operating profit that would have been obtained by independent parties in comparable transactions, based on profitability factors that take into account variables such as assets, sales, costs, expenses or cash flows.
PARAGRAFO 1o. For the purposes of this article, revenue, costs, gross utility, net sales, expenses, operating profit, assets and liabilities, will be determined based on accounting principles generally accepted in Colombia.
PARAGRAFO 2o. For the application of any of the methods outlined in this article, a price range or utility margin may be obtained when there are two or more comparable operations. These ranges will be adjusted by the application of statistical methods, in particular the interquartile range that enshrines economic science.
If the taxpayer's prices or profit margins are within these ranges, they will be considered as adjusted to the price or margin of trading between independent parties.
In case the taxpayer is outside the adjusted range, the price or margin of utility in independent party operations is considered to be the median of that range.
PARAGRAFO 3o. The National Tax and Customs Directorate may enter into agreements with income tax payers, domestic or foreign, by which the price or margin of utility of the tax is determined. the different operations they carry out with their economic partners or related parties, in the terms set out in the regulation.
The determination of prices by agreement shall be made on the basis of the methods and criteria for which this Chapter is dealt with and may have effects in the taxable period in which it is applied for, in the period immediately before and up to the three taxable periods following that in which it is requested.
The agreements referred to in this paragraph shall apply without prejudice to the powers of audit of the Directorate of National Taxation and Customs.
Item 260-3. Criteria for comparability between economic partners and independent parties. For the purposes of the transfer pricing regime, it is understood that the transactions are comparable where there are no differences between the relevant economic characteristics of those and those of the taxpayer that significantly affect the the utility price or margin referred to in the methods set out in Article 260-2 or, if such differences exist, their effect can be eliminated by economic technical adjustments reasonable.
To determine whether the operations are comparable or if there are significant differences, the following attributes of the operations will be taken into account, depending on the method selected:
1. The characteristics of the operations, including:
(a) In the case of financing operations, items such as the amount of principal, period, risk rating, guarantee, debtor's solvency and interest rate;
b) In the case of the provision of services, elements such as the nature of the service and whether or not the service involves an experience or technical knowledge;
c) In the case of granting the right to use or dispose of tangible goods, such as physical characteristics, quality, reliability, availability of the good and volume of the offer;
d) In the event that the holding is granted or an intangible asset is transferred, such elements as the class of the good, patent, trademark, trade name or know-how, the duration and degree of protection and the benefits expected to be obtained from its usage;
e) In the case of the disposal of shares, the liquid assets of the broadcaster, adjusted for inflation, the present value of the projected earnings or cash flows, or the stock exchange rate of the last fact of the day of the disposal.
2. Significant economic functions or activities, including the assets used and risks assumed in the operations, of each of the parties involved in the transaction.
3. The actual contractual terms of the parties.
4. Economic or market circumstances, such as geographical location, market size, market level (wholesale or such), level of competition in the market, competitive position of buyers and sellers, availability of goods and substitute services, market demand and supply levels, consumer purchasing power, government regulations, production costs, transportation cost, and the date and time of the operation.
5. Business strategies, including those related to market penetration, permanence and expansion.
PARAGRAFO. When business cycles or commercial acceptance of the taxpayer's products cover more than one financial year, information from the taxpayer and comparable transactions may be taken into consideration. for two or more exercises prior to or after the audit exercise.
Item 260-4. Proof of documentation. The taxpayers shall prepare and maintain, for a period of five years from the date of issue of the document, proof of each type of operation to be carried out with economic links or related parties, with which demonstrate that their ordinary and extraordinary revenues and their costs and deductions are in line with the prices or profit margins that would have been used by independent parties in comparable transactions. This documentation must contain the information set by the regulation.
Item 260-5. Adjustments. Where, in accordance with the provisions of an international tax treaty concluded by Colombia, the competent authorities of the country with which the treaty was concluded, make an adjustment to the prices or amounts of A taxpayer resident in that country and provided that such adjustment is accepted by the National Tax and Customs Directorate, the related party resident in Colombia may submit a correction declaration without penalty which reflects the corresponding adjustment
Article 260-6. Jurisdiction of lower tax taxation.
Item 260-7. Costs and deductions. The provisions in 90, 90-1, 124-1, 151, 152 and numerals 2 and 3 of article 312 of the Tax Statute, will not apply to taxpayers who meet the obligation stated in the first indent of the article 260-1 of the Tax Statute in relation to the operations to which this regime applies.
The transactions to which the transfer pricing rules apply are not covered by the limitations to the costs and expenses provided for in this Statute for economic links.
Item 260-8. Obligation to provide information declaration. Income tax and supplementary tax payers, who are obliged to apply the rules governing transfer prices, must submit an annual statement of transactions with economic partners or parties. related.
This declaration is applicable, as appropriate, to the rules of the Fifth Book of this Statute. In addition, they will have to comply with the presentation of the information that the National Government points out by regulation.
PARAGRAFO. In cases of subordination or control or business group situation according to the assumptions provided in 260 and 261 of the Tax Statute, the Control Ente or matrix will present a declaration and will include all related operations during the declared period.
Item 260-9. Interpretation.
Article 260-10. Transitional. The provisions of Title I of the First Book of the Tax Statute, relating to transfer prices, shall apply from the taxable year 2004.
The audit processes relating to transfer pricing will be brought forward from 1o. of January 2005.
Without prejudice to the foregoing, prior agreements for the determination of transfer pricing may be made as of the validity of this Law. "
ARTICLE 29. SURCHARGE IN CHARGE OF TAXPAYERS FORCED TO DECLARE INCOME TAX. Add the Tax Statute with the following article:
Article 260-11. Overtax in charge of taxpayers forced to declare income tax. Create an overtax in charge of taxpayers forced to declare income tax and supplementary. This surcharge shall be equivalent for the taxable year 2003 to 10% (10%) of the net income tax determined by that taxable year. From the taxable year 2004 this surcharge shall be equal to five per cent (5%) of the net income tax of the respective taxable period.
The regulated surcharge here will be settled in the respective income statement and complementary and will not be deductible or unaccountable in the determination of income tax.
PARAGRAFO. The surcharge created in this article is subject for the financial year 2003 to an advance of 50% of the value of the same calculated on the basis of the net income tax of the taxable year 2002, which shall be paid during the second half of 2003, within the time limits set by the regulation.
SALES TAX.
ARTICLE 30. EXCLUDED GOODS. Amend article 424 of the Tax Statute, which is thus:
Item 424. Goods excluded from the tax. The following goods are excluded from the tax and therefore their sale or import does not cause the sales tax. For this purpose the current Nandina tariff nomenclature is used:
03.03.41.00.00 Target Tuna
03.03.42.00.00 Yellow-fin Tuna
03.03.45.00.00 Common or blue fin tuna
04.09.00.00.00 Natural Honey
05.11.10.00.00 Bovine Semen
06.01 Bulbs, onions, tubers, roots and tuberous bulbs, turions and rhizomes, in vegetative rest, in vegetation or in flower; chicory plants and roots, except for the roots of Item No 12.12
07.01 Fresh or chilled potatoes (potatoes)
07.02 Fresh or chilled tomatoes
07.03 Onions, shallots, garlic, leeks and other vegetables (including wild),
or chilled07.04 Coles, including cabbages, cauliflowers, rips, colinabos and similar edible products of the brassica genus, fresh or chilled
07.05 Lechugas (lactuca sativa) and chicory, including beetle and endibia (cicchorium spp.), fresh or chilled
07.06 Carrots, turnips, salad beets, salsifies, apis, radishes and similar edible roots, fresh or chilled
07.07 Pepinos and fresh or chilled pepinillos
07.08 (Even wild) pods of pods, even if they are unrolled, fresh or chilled
07.09 Other vegetables (including wild ones), fresh or chilled.
07.10 Horticultural (even wild) even if cooked in water or steam, frozen
07.11 Horticultural (even wild) provisionally preserved (for example: with sulphur dioxide gas or with salt water, sulphur, or added to other substances to ensure such conservation), but not yet unfit for immediate consumption
07.12 Dry (even wild) dried, either cut into pieces or sliced or crushed or ground, but without any other preparation
07.13 (Even wild) dry-pod, unvainted, whether or not
or split07.14 Yuca roots (cassava), arrurruz or salep, aguataturas (patacas), sweet potato (sweet potatoes) and similar roots and tubers rich in starch or inulin, fresh, chilled, frozen or dried, whether or not sliced or in the form of pellets; sagu
08.01.19.00.00 Fresh Cocos
08.02 Other nuts, fresh or dried, whether or not shelled or monked
08.03 Bananas or bananas, fresh or dried
08.04 Dates, figs, tropical pineapples (ananas), avocados (paltas), guavas, mangoes and mangosteens, fresh or dried, and food products made from a guava and/or milk-based handcrafted food.
08.05 Fresh or Dry Agris (citrus)
08.06 Uvas, fresh or dried, including raisins
08.07 Melons, watermelons and papayas, fresh
08.08 Apples, pears and memberships, fresh
08.09 Damascos (apricots, chamacans), cherries, peach (peaches) (including grinons and nectarines), plums and endrines, fresh
08.10 Other fruits or other fruits, fresh
09.01.21.10.00 Coffee in grain
10.01 Wheat and Morcajo (tranquillon)
10.03 Cebada
10.06 Maiz
10.06 Rice
11.04.23.00.00 Mailbox
12.09 Seed seeds
12.12.92.00.00 Sugar Cane
18.01.00.10.00 Cacao crude grain
19.01 Bienestarin
19.05 Pan
22.01 Packaged water, natural or artificial mineral water and aerated water, not containing added sugar or other sweetening matter or flavoured; ice and snow
25.01 Salt (including table and denatured salt) and pure sodium chloride, whether or not in aqueous solution or with the addition of anti-caking agents or agents ensuring good fluidity; seawater
25.03 Natural Sulphur
25.10 Natural calcium phosphates (tricalcium or phosphorite phosphates) without grinding or grinding.
27.01 Hullas, briquettes, ovoids, and similar solid fuels obtained from hard coal
27.04 Cokes, hard coal, lignite, agglomerated peat or not
27.16 Electrical Energy
28.44.40,00.00 radioactive material for medical use
29.36 Provitamins and vitamins, natural or reproduced by synthesis (including natural concentrates) and their derivatives used primarily as vitamins, mixed or not with each other or in solutions of any kind
29.41 Antibiotics
30.01 Glands and other organs for oopterapic uses, dried, whether or not powdered; extract of glands or other organs or of their secretions, for oopterapic uses; heparin and its salts; other prepared human or animal substances for therapeutic or prophylactic uses, not elsewhere specified or included
30.02 Human blood; animal blood prepared for therapeutic, prophylactic or diagnostic uses; antisera (serums with antibodies), other fractions of blood and immunological products
modified, even obtained by biotechnological process; vaccines, toxins, cultures of micro-organisms (excluding yeasts) and similar products
30.03 Medicines (excluding products of heading Nos 30.02, 30.05 or 30.06) consisting of products mixed with each other, prepared for therapeutic or prophylactic uses, without dosing or conditioning for retail sale
30.04 Medicines (excluding products of heading 30.02, 30.05 or 30.06) consisting of mixed or unmixed products prepared for therapeutic or prophylactic uses, dosed or put up for retail sale
30.05 Guatas, gauze, bandages and similar articles (for example, dressings, spreaders, synapses), impregnated or coated with pharmaceutical substances or put up for retail sale for medical, surgical, dental or other purposes veterinarians
30.06 Pharmaceuticals and Pharmaceutical Articles as referred to in Note 4 to this Chapter
30.06.00.00 Oral Contraceptives
31.01 Guano and other natural fertilisers of animal or plant origin, whether or not mixed together, but not chemically produced
31.02 Mineral or nitrogenous Chemicals
31.03 Mineral or Phosphate Chemicals
31.04 Mineral or potassium chemicals
31.05 Other fertilizers; products of this heading which are presented in tablets, lozenges and other similar forms or in packages of a maximum gross weight of 10 kilograms
10)38.08 Pesticides and Insecticides
38.22.00.11.00 Diagnostic reassets on paper or cardboard support
38.22.00.19.00 Other diagnostic reagents
40.01 Natural Rubber
40.11.91.00.00 Tractors for tractors
40.14.10.00.00 Preserving
44.03 Raw wood (round, rollide or rollo) with or without bark and wood in block or simply deoriented
44.04 Nursery trees for the establishment of timber forests
48.01.00.00.00 Press paper
49.02 Journals and periodicals, printed, even illustrated
52.01 Cotton Fibers
53.04.10.10.00 Pita (cabuya, fique)
53.11.00.00.00 Fabric of other vegetable textile fibres
56,08.11.00.00 Made-up nets for fishing
59.11 Jute, hemp and fique Empaques
63.05 Yute, Hemp, and Yute Talegas
71.18.90.00.Legal Course Coins
82.01 Layas, Agricultural Hand Tools
82,08,40,00.00 Knives and cutting sheets for machines and mechanical appliances for agricultural, horticultural and forestry use
84,07.21.00.00 Outboard engines, up to 115 HP.
84,08.10.00.00 Diesel center engines up to 150 HP.
84.24.81,30.00 Other appliances for irrigation systems
84.32. Machines, agricultural appliances and appliances, horticultural or forestry appliances, for the preparation or work of the soil or for cultivation; excluding rollers for lawns or sports grounds
84.33 Machines, apparatus and apparatus for harvesting or trialling, including presses for straw or fodder; guadanadors; machines for cleaning or sorting eggs, fruit or other agricultural products, other than those of heading No 84.37 subheadings 84.33.11 and 84.33.19
84.36 Other machines and appliances for agriculture, horticulture, forestry or beekeeping, including germinators with built-in mechanical or thermal devices
84.37.10.00.00 Machines for cleaning, sorting or screening of seeds, grains or dried pod vegetables
87.01.90.00.10 Agricultural Tractors
87.13.10.00.00 Sillas of wheels and similar equipment, of personal, mechanical or electrical propulsion for the mobilization and integration of persons with disabilities or older adults.
87.13.90.00.00 Other
87.14 Tools, parts, accessories, corresponding to wheelchairs and similar for the mobilization of persons with disabilities and older adults of the items or classifications 87.13 and 87.14
87.16.20.00.00 Trailers for agricultural use
90.01.30.00.00 Contact Lents
90.01.40 Glass Lents for Glasses
90.01,50,00.00 Lents of Other Materials
90.18.39.00.00 Catheters
90.18.39.00.00 peritoneal catheters for dialysis
921 Special appliances for orthopedics, prostheses, rehabilitation, products for urinary care, swimming pool access devices for persons with disabilities
93.01 Weapons of War, except revolvers, handguns, and white weapons
96.09.10.00.00 Write and Coloring Laptops
Chemical raw materials for the production of pesticides and insecticides of heading 38.08 and fertilizers of headings 31.01 to 31.05
Equipment for infusion of liquids and filters for renal dialysis of subheading 90.18.39.00.00
The braille, stereotypical braille, braille, regletas braille, arithmetic and drawing braille, manual or mechanical writing elements of the braille system, as well as the articles and braces, prostheses, Articles and apparatus of prostheses; all for use by persons, hearing aids and other apparatus which the person himself carries, or is implanted to compensate for a defect or an inability and canes for the blind, even if they are equipped with technology, contained in the tariff heading 90.21.
For the year 2003, the personal computers of a single processor, portable or desktop, enabled for Internet use, with preinstalled operating system, keyboard, mouse, speakers, cables and manuals, up to a CIF value of a thousand Five hundred dollars (US $1,500).
The contraceptive devices for female use
Chemical raw materials for the production of medicinal products in positions 29.36, 29.41, 30.01, 30.03, 30.04 and 30.06.
Equipment and components of the vehicle gas plan.
1. Cylinders 73.11.00.10.00
2. Conversion Kit 84.09,91,91.00
3. Parts for Kits (spare parts) 84,09,91.99.00; 84,09,91,60.00
4. Compressors 84.14.80.22.00
5. Dispensers (dispensers) 90.25,890.00
6. Parts and accessories dispensers (spare parts) 90.25.90.00.00
7. Compressor parts and accessories (spare parts) 84.14.90.10.00; 84,90.90.90.00
Bricks and blocks of colicanto, of clay, and based on cement, blocks of silvocalcare clay.
ARTICLE 31. EXEMPT GOODS. Modify Article 477 of the Tax Statute, which remains:
Item 477. Goods which are exempt from the tax. The following goods are exempt from sales tax:
02.01 Meat of bovine animals, fresh or chilled
02.02 Meat of bovine animals, frozen
02.03 Meat of animals of the porcine species, fresh, chilled or frozen.
02.04 Meat of sheep or goat species, fresh, chilled or frozen.
02.06 Animal edible despojos
02.07 Meat and edible offal, of birds of heading 01.05, fresh, chilled or frozen.
02.08.10.00.00 Fresh rabbit or hare meat
03.02 Fresh or chilled fish, except fillets and other fish meat of heading 03.04
03.03 Frozen fish, other than fillets and other fish meat of heading 03.04
03.04 Fillets and other fish meat (even minced), fresh, chilled or frozen
04.01 Milk and cream, not concentrated, not containing added sugar or other sweetening matter
04.02 Milk and cream, with any industrial process concentrated or with addition of sugar or other sweetening matter
04.06.10.00.00 Fresh cheese (unmatured)
04.07.00.10.00 Eggs for hatching, and day-old chicks
04,07.00.90.00 Fresh shell eggs
19.01.10.10.00 Maternized or humanized milk
48.20 School-type notebooks.
Fuel alcohol, destined for mixing with gasoline for automotive vehicles. "
ARTICLE 32. EXCLUDED INSURANCE POLICIES. Modify Article 427 of the Tax Statute, which remains:
Item 427. Insurance policies excluded. No life insurance policies are imposed on the individual, collective, group, personal accident classes, which are dealt with in Section II of Chapter III of Title 5. of the 4th Book. of the Code of Commerce, insurance policies covering catastrophic diseases which correspond to health-promoting entities where necessary, insurance policies for education, pre-school, primary, middle, or intermediate, and special, national or foreign. Nor are the reinsurance contracts that treat items 1134 to 1136 of the Trading Code.
ARTICLE 33. IMPORTS THAT DO NOT CAUSE TAX. Add article 428 of the Tax Statute with the following literals and paragraphs:
" g) The ordinary import of industrial machinery not produced in the country, intended for the processing of raw materials, by highly exporting users.
For the purposes of this article, the rating of highly-exporting users will only require compliance with the requirement set out in literal (b) of Article 36 of Decree 2685 of 1999.
For the origin of this benefit, compliance with the amount of the exports referred to in the preceding paragraph must be credited annually and the imported machinery must remain within the respective importer's assets during a term not less than that of its useful life, without the use of any title to third parties, except where the transfer is made in favour of a leasing company with a view to obtaining financing through a leasing contract.
In the event of non-compliance with this provision, the importer shall reintegrate the non-paid sales tax plus the moratory interest to which there is a place and a penalty equivalent to 5% of the FOB value of the imported machinery.
PARAGRAFO 2o. To be entitled to the benefit of this article, in the import of machinery made by new companies that are constituted from the validity of this Law must be guaranteed by the terms set out in the regulation.
PARAGRAFO 3o. In all cases provided for in this article, for the exclusion of the sales tax on the import, a required certification issued by the competent authority.
PARAGRAFO 4o. The benefits provided for in this article will also apply when the goods referred to in this article are purchased by commercial finance companies, to lease them.
ARTICLE 34. GOODS TAXED AT THE RATE OF 7%. Amend article 468-1 of the Tax Statute, which is thus:
" Article 468-1. Goods taxed at the rate of 7%. From 1o. of January 2003, the following goods are taxed at the rate of 7%:
01.01 Horses, asses, mules and burgans, live (except horses for horse riding, pole, racing and fine-passing)
06.02.20.00.00 Planting for seeding
09.01 Roasted or decaffeinated coffee; coffee husks and husks; coffee substitutes containing coffee in any proportion, including soluble coffee.
10.01 Wheat and Morcajo (tranquillon) 7 of Law 818 of 2003 >
10.02 Centene
10.04 Avena
10.05 Maiz for industrial use
10.06 Rice for industrial use
10.07 Sorgo
10.08 Alforfon, millet and alpiste; other cereals
11.01 Wheat Flour or Morcajo (tranquillon)
11.02 Other cereal flours
11.07 Malta (barley or other cereals), whether or not roasted
11.08 Starch and starch
11.09 Wheat Gluten, Even Dry
12.01.00.90 Soy Habas
12.09.99.90.00 Seed for Sugar Cane
16.01 Embutites and similar products, of meat, offal or blood, food preparations based on these products
16.02 Other prepared and preserved meat, offal or blood
16.04 Canned Tuna and Canned Sardines
17.01 Cane or beet sugar
17.02.30.20.00 glucose syrups
17.02.30.90.00 Other
17,040.20.00 Glucose syrups
17.02. 60,00.00 Other fructose fructose and fructose syrup, with a fructose content, in the dry state, exceeding 50% by weight
17.03 Melaces of sugar extraction or refining
18.03 Cacao en masse or in breads (cacao paste), whether or not degreased
18.05 Cocoa powder, not sugary
18.06 Chocolate and other food preparations containing cocoa, other than chewing gum, chocolates, candies, candies
chocolate19.01 Food preparations of flour, starch and
starch
19.02.11.00.00 Uncooked food pasta, refilling, or otherwise prepared, containing egg
19.02.19.00.00 Other
19.05 Bakery, pastry, biscuits, even with the addition of cocoa, other than bread
23.09 Preparation of the type used for feeding the animals
24.01 Unworked or unworked tobacco: Waste of
tobacco
27.02 Lignitus, whether or not agglomerated, excluding azabache
27.03 Turba (including peat for an animal bed) and its agglomerates
27.09.00.00.00 Crude Oil Oils or Bituminous Mineral Oils
53,08.90.00.00 Other
53.11.00.00.00 Paper yarn fabrics
84.14.80.21.00 Air or vacuum pumps, air compressors or other gases and fans; aspirational or recycled drives, with a fan incorporated, even with a filter, of a power of less than 30 kw (40 HP)
84.14.80.22.00 Air or vacuum pumps, air compressors or other gases and fans; aspirational or recycled drives, with a fan incorporated, even with a filter, of a power greater than or equal to 30 kw (40 HP) and less than 262.5 kw (352 HP)
84.14.80.23.00 Air or vacuum pumps, air compressors or other gases and fans; aspirational or recycled drives, with a fan incorporated, even with a filter, of a power greater than or equal to 262,5 kw (352 HP)
84.18.69.11.00 Compression cold groups (cold tanks to conserve milk)
84.19.39.10.00 Sectors by lyophilization, cryodesiccation, spraying, sterilisation, pasteurisation, evaporation, vaporization and condensation
84.19.50.10.00 Pasterizers
84.21.11.00.00 Centrifuges (discremators) centrifuges
84.21.22.00.00 Appliances for filtering or debugging other beverages
84.34 Ordering machines and machines and appliances for the dairy industry
84.36 Other machines and appliances for poultry farming, including poultry hatcheries and breeding machines
84.38 Machines and apparatus for the preparation or manufacture of food or drink, other than those of
84.38.1084,85.10.00.00 Helices for boats and their pallets
The original works of art
The cotton seed
The fruit of African palm
Matches or matches
PARAGRAFO 1o. From 1o. of January 2005, the former goods will be taxed at the rate of 10%.
ARTICLE 35. SERVICES TAXED AT THE RATE OF 7%. Add the Tax Statute with the following article:
" Article 468-3. Services taxed at the rate of 7%. From 1o. January 2003, the following services are taxed at the rate of 7%:
1. The rental service of buildings other than those intended for housing and spaces for national exhibitions and craft exhibitions.
2. Grooming services, surveillance services approved by the Superintendency of Private Surveillance and temporary employment services when they are provided by companies authorized by the Ministry of Labour and Social Security or authority competent, in the part corresponding to the AUI (Administration, Unforeseen and Utility). This value shall be charged to undertakings belonging to the common system.
3. Pre-paid and complementary medicine plans, insurance policies for surgery and hospitalization, health insurance policies and in general the additional plans, in accordance with the current rules.
4. The services of social or sports clubs of workers and pensioners.
5. Storage of agricultural products by general warehouse warehouses.
6. Commissions directly related to negotiations of products of agricultural origin that are carried out through bags of legally constituted agricultural products.
7. Commissions received for the placement of health plans of the system of prepaid medicine issued by entities legally authorized by the National Superintendency of Health.
8. The accommodation service provided by hotel or lodging establishments, duly registered in the National Register of Tourism.
9. The service provided by establishments exclusively related to physical exercise.
10. The commissions received by the exchange commission for the negotiation of securities.
PARAGRAFO 1o. From 1o. From January 2005, the previous services will be taxed at the rate of 10%.
PARAGRAFO 2o. From 1o. January 2003, the mobile phone service is taxed at the rate of 20%.
The 4% increase referred to in this paragraph will be for social investment and will be distributed as follows:
* 75% for the sectoral plan for the promotion, promotion and development of sport, and recreation, sports scenarios including access in the areas of influence of the same, as well as for the attention of national sports games and the National Paralympic Games, the commitments of the Olympic and Paralympic cycle that the Nation acquires and the preparation and participation of the athletes in all the mentioned games and those of the National Single Calendar.
* The remaining 25% will be rotated to the departments and the Capital District to support the programs of promotion and sports development, taking into account the criteria of the General System of Participation established in the Law 715 of 2000 and also, the promotion, promotion and development of Colombian culture and artistic activity.
PARAGRAFO 3o. Accommodation services provided by establishments that are not properly registered in the national tourism register are taxed at the rate of 7% from 1o. January 2003.
PARAGRAFO 4o. When mixed restaurant, cafeteria, bakery, pastry, and/or galleteria activities are carried out in a trade establishment, the sale is understood as a restaurant service. taxed at the general rate. "
ARTICLE 36. SERVICES EXCLUDED FROM SALES TAX. Please modify numerals 3, 5 and 8 and add three numerals to article 476 of the Tax Statute, which are as follows:
" 3. Financial interest and income from credit operations, provided that they are not part of the taxable base referred to in Article 447, the commissions received by the trust companies by the administration of the common funds, the commissions received by the exchange commission by the administration of securities funds, the commissions received by the investment management companies, the financial lease (leasing), state fund management services and services linked to social security in accordance with the provisions of Law 100 1993. The fees paid for the placement of life insurance and those of securities of the capitalization.
5. The rental service of buildings for housing, and the leasing of spaces for exhibitions and national craft exhibitions, including artistic and cultural events.
8. The compulsory health insurance plans of the health social security system issued by authorities authorized by the National Health Superintendence, the services provided by the administrators within the individual savings scheme with solidarity and average premium with defined benefit, the services provided by professional risk managers and the insurance and reinsurance services for invalidity and survivors, covered by the individual savings scheme with solidarity referred to in article 135 of Law 100 of 1993, different from the prepaid and complementary medical plans referred to in article 3 (3) of the article 468-3.
19. Food services, contracted with public resources and destined for the prison system, social assistance and public education schools.
20. Domestic air transport of passengers with or from domestic routes where there is no organised land transport.
21. Advertising services in newspapers that record sales in advertising at 31 December of the year immediately preceding three billion pesos ($3,000,000,000) (base year 2002 value).
Advertising on radio stations whose sales are less than 500 million pesos ($500,000,000) at 31 December of the year immediately preceding (base year 2002 value) and regional television channel programs whose sales are less than one billion pesos ($1,000,000,000) at 31 December of the year immediately preceding (base year 2002 value). Those who exceed this amount will be governed by the general rule.
The exclusions provided for in this numeral will not apply to companies which arise as a result of the division of companies which, prior to the issuance of this law, conform to a single company or to the new companies which are believed to have parent company or parent company is taxed with VAT for this concept ".
ARTICLE 37. SALES TAX LIABILITY. Add article 437 of the Tax Statute with the following literal:
" (f) Taxpayers belonging to the common sales tax regime, due to the tax incurred on the purchase or purchase of the goods and services related to the article 468-1, when they are rendered or rendered by non-merchant natural persons who have not enrolled in the common sales tax regime.
The tax caused in these transactions will be assumed by the buyer or acquirer of the common regime, and must be declared and entered in the month corresponding to the date of payment or credit. The retained tax may be treated as discountable in the form provided for by items 485, 485-1, 488 and 490 statuit_statual_statual_statual_status. On the transactions provided for in this literal, whatever the amount, the acquirer shall issue to the seller the document equivalent to the invoice, in the terms specified in the regulation. "
ARTICLE 38. MOTOR VEHICLES WITH GENERAL FARE. Please modify the number 1 of article 469 of the Tax Statute, which shall be as follows:
" 1. Taxi taxis and taxis also classifiable by tariff heading 87.03 ".
ARTICLE 39. TARIFFS FOR MOTOR VEHICLES. Add a paragraph 1o. to article 471 of the Tax Statute, as follows:
" Paragraph 1o. From 1o. of January 2003, the goods referred to in paragraph 4. of this article are taxed at the rate of 38%.
The goods mentioned in 3o. will be taxed at the following rates:
At twenty-one percent (21%) from 1o. of July 2003.
To twenty-three percent (23%) from 1o. of July 2004.
At twenty-five percent (25%) from 1o. of July 2005.
To motor vehicles imported with a cylinder capacity equal to or less than 1,400 cc, currently taxed at the rate of thirty-five (35%) by way of sales tax on their import and marketing, they will be reduced to rate in the following way:
At thirty-three percent (33%) from the July 2003 prim.
At twenty-nine percent (29 percent) as of July 1, 2004.
At twenty-five percent (25%) as of July 1, 2005. "
ARTICLE 40. SALES TAX SPECIAL DISCOUNT. Add the Tax Statute with the following article:
" Article 485-2. Special sales tax discount. During the years 2003, 2004 and 2005, those responsible for the common system shall be entitled to discount the VAT paid on the purchase or import of industrial machinery.
This discount will be requested within three (3) years from the bimestre in which the machinery is imported or purchased. 50% the first year, 25% in the second and the remaining 25% in the third year. The value of the tax shall in no case exceed the value of the tax charged by the two-year period. Balances that could not be counted at the end of the third year, will be carried as a higher asset value.
8 of Law 818 of 2003. The new text is as follows: > In the case of the purchase or import of industrial machinery by means of the leasing system, the licensee will be entitled to apply for the discount provided for in this article. where in the respective contract there is an irrevocable acquisition option agreed in his favour.
PARAGRAFO 1o. In the case of the purchase or import of industrial machinery by producers of excluded goods, the VAT paid may be treated as a discount on income tax, in the taxable year. in which the machinery has been acquired or imported.
PARAGRAFO 2o. In the case of the purchase or import of industrial machinery by producers of exempt goods or by exporters, the VAT paid may be treated as a non-accounting tax on the tax on sales in accordance with article 496 of this Statute.
PARAGRAFO 3o. In the case of the purchase or import of industrial machinery by companies that are constituted from the date of entry into force of this Law, the VAT paid may be treated as tax on sales tax in the three (3) years following the start of the taxed activities.
PARAGRAFO 4o. In no case shall the benefit provided for in this article be used concurrently with the benefit of Article 258-2 of this Statute. "
ARTICLE 41. DETERMINATION OF SALES TAX IN FINANCIAL SERVICES AND IN FOREIGN EXCHANGE OPERATIONS and 2o. and a 3o paragraph is added. Article 486-1 of the Tax Statute, which remain so:
" When it comes to currency transactions, the tax will be determined by the exchange market intermediaries and by those who buy and sell foreign currency, as provided for in the exchange rules. For this purpose the taxable base is established by taking the difference between the rate of sale of the currencies of each transaction at the date of the transaction and the weighted average rate of purchase of the respective responsible in the last day Previous business in which you have made currency purchases. For the calculation of this taxable base, account shall be taken of whether the transaction is made in cash, by cheque or by electronic transfer or by rotation, with a weighted average rate calculated for each of these transaction modes. The tax base thus established is multiplied by the tax rate and the amount of foreign currency.
For currency transactions arising from forward and forward contracts, the tax is determined by taking the difference between the rate of sale of the currencies of each transaction on the date the transaction is made and the purchase rate established in the manner in which the National Government determines for which it will take into account the deadlines agreed in this type of operations. The tax base thus established is multiplied by the tax rate and the amount of foreign currency.
The National Government will establish the methodology for the calculation of the weighted average foreign exchange rate. "
ARTICLE 42. SIMPLIFIED SCHEME FOR RETAIL TRADERS. As amended by Article 499 of the Tax Statute, which remains:
" Article 499. Simplified scheme for retail traders. For all purposes of Sales Tax, VAT, natural persons, retail traders or retailers whose sales are taxed, when they have obtained in the year immediately before, must be registered under the simplified scheme. gross proceeds from their commercial activity of less than four hundred (400) monthly minimum legal wages in force and have an establishment of trade, office, venue, premises or business where they pursue their business. "
ARTICLE 43. SIMPLIFIED SCHEME FOR SERVICE PROVIDERS. As amended by Article 499-1 of the Tax Statute, which remains:
" Article 499-1. Simplified scheme for service providers. For all the purposes of the Sales Tax, VAT, natural persons who provide taxed services must be enrolled in the simplified scheme, when they have obtained in the year immediately prior gross income from their a value of less than two hundred (200) monthly minimum legal wages in force and an establishment of trade, office, venue, premises or business where they exercise their business.
PARAGRAFO. Independent professionals, who perform operations excluded from sales tax, must comply with the formal obligations provided for in Article 506 of the Tax Statute. "
ARTICLE 44. SIMPLIFIED REGIME STEP TO COMMON REGIME. Modify article 508-2 of the tax statute, which remains:
" Article 508-2. Simplified scheme for a common scheme. Where the gross receipts of a sales tax officer belonging to the simplified scheme, in the case of the taxable year, exceed the ceilings referred to in Articles 499 and 499-1, the responsible will become part of the common regime from the start of the following period ".
TAXATION OF FINANCIAL MOVEMENTS.
ARTICLE 45. FACT GENERATOR OF THE CHARGE TO FINANCIAL MOVEMENTS. Article 871 of the Tax Statute is added with the following incisements and the paragraph is amended, which remain so:
" They also constitute a tax generator:
The transfer or assignment to any title of the resources or rights on collective portfolios, between different co-owners of the same, as well as the withdrawal of these rights by the beneficiary or the beneficiary, including when such Transfers or withdrawals are not directly linked to a movement of a current account, savings or deposit account. In cases where they are linked to debits of any of those accounts, the entire operation shall be considered as a single operative event.
The provision of resources through the so-called collection contracts or agreements or similar agreements signed by financial institutions with their clients in which there is no provision of resources from a current account, savings or repository.
Debits that are made to accounting and other accounts, other than current, savings or deposit accounts, for the realization of any payment or transfer to a third party.
For the purposes of the application of this Article, collective portfolios are defined as securities funds, mutual funds, ordinary common funds, special common funds, pension funds, transferee funds and, in general, any entity or set of goods administered by a legally empowered society, which lack legal personality and belong to several persons, who will be their co-owners in the aliquots. "
" Paragraph. For the purposes of this Article, a financial transaction shall mean any provision of resources from current accounts, savings accounts, or deposits involving among others: cash withdrawal by cheque, talonary, cards debit, electronic cashier, payment points, debit notes or through any other form, as well as accounting movements in which the payment of obligations or the transfer of goods, resources or rights to any title is configured, including those made on, collective portfolios and securities, or the provision of resources through (a) a contract or a collection agreement referred to in this Article. This includes debits made on deposits credited as 'positive credit card balances' and transactions by which credit institutions cancel the amount of the term deposits by crediting the credit card. account ".
ARTICLE 46. TAXABLE PERSONS ON THE CHARGE TO FINANCIAL MOVEMENTS. Modify the first paragraph of Article 875 of the Tax Statute, as follows:
" Users and clients of entities monitored by the Banking, Securities or Solidarity Economy Superintendents, as well as the entities monitored by these entities, shall be subject to the financial movements. superintendencies, including the Bank of the Republic. '
