Colombia ranks 31st overall on the 2021 International Tax Competitiveness Index, the same as in 2020.
- A worker earning the nation's average wage faces the lowest tax burden in the OECD.
- Colombia taxes dividends and capital gains at very low rates.
- While capital gains resulting from inheritance and gifts received are subject to a 10 percent tax, there is no comprehensive estate or inheritance tax.
- The VAT base is very narrow, covering less than 40 percent of Colombian consumption.
- Colombia levies a net wealth tax and a financial transactions tax.
- At 31 percent, Colombia's corporate income tax rate is significantly above the OECD average (22.9 percent).
Learn more about the tax system in Colombia