Property tax in Colombia is based on the value of the property, and is paid annually. The tax rate ranges from 0.1% to 0.6% depending on the location and type of property.
Capital Gains Tax (CGT)
- When selling a property in Colombia, the seller is subject to CGT. The tax rate is 30% on the difference between the sale price and the original purchase price.
Inheritance Tax
- Inheritance tax in Colombia is based on the value of the property and the relationship of the heir to the deceased. The tax rate ranges from 5% to 50%.
Gift Tax
- Gift tax in Colombia is imposed on the transfer of property as a gift. The tax rate ranges from 5% to 20%, and is based on the value of the property and the relationship of the giver and receiver.
Tax on Property Income
- Income from renting out a property in Colombia is subject to income tax. The tax rate ranges from 20% to 33%.
Tax Advantages
- There are certain tax advantages in buying a house in Colombia. For example, individuals who purchase their first home can deduct the value of the home from their taxable income up to a certain amount. Additionally, in certain cases, the property tax is waived or significantly reduced for properties that are used as a primary residence.