How to know whether I must file an income tax return

The dates are approaching for individuals to file their income tax returns for taxable year 2017. Many people wonder how to know whether they must file an income tax return and how to do it.

Decree 1951 of 2017 determines the filing dates for tax returns in 2018. This decree modifies the Single Tax Decree as follows:

“Article 1.6.1.13.2.15. Income tax and complementary tax return for individuals and estates. For taxable year 2017, individuals and estates must file the income tax and complementary tax return under the schedular system, using the form prescribed by the Special Administrative Unit of the National Tax and Customs Directorate (DIAN), except for those identified in Article 1.6.1.13.2.7 of this Decree, as well as assets destined for special purposes by virtue of donations and modal assignments whose donees or assignees do not personally enjoy them, and non-resident individuals who obtain income through permanent establishments in Colombia.”

Who did not have to file an income tax return for 2017:

Gross assets on the last day of taxable year 2017 did not exceed 4,500 UVT ($143,366,000).

Gross income was less than 1,400 UVT, that is, $44,603,000.

Credit card consumption did not exceed 1,400 UVT, $44,603,000.

Total purchases and consumption did not exceed 1,400 UVT, $44,603,000.

The total accumulated value of bank deposits, deposits or financial investments did not exceed 1,400 UVT, $44,603,000.

Nevertheless, to determine whether you are required to file an income tax return, it is important to carry out a personalized analysis, because each case is different.

It is very important to confirm whether or not you are required to file your return. Even if, at first glance, the general requirements above suggest that you are not required to file, there may be other circumstances you are unaware of that could include you among those required to file.

It should be remembered that filing an income tax return does not necessarily mean that tax must be paid. There are many returns where the amount payable is very low or even zero pesos, and many others produce a balance in favor. However, if you do not file when you are required to do so, in most cases it is more costly because the return must be filed with the corresponding late-filing penalty and late-payment interest.

There are less than 15 days before the deadlines begin. Individuals whose ID numbers end in 00 and 99 have until August 9.

Contact us; the first consultation is free.

If you need more information, advice or guidance, request an appointment and tell us about your case so we can review the next step.

Withholding tax may be filed without payment

Withholding tax may be filed without payment because, with the entry into force of Law 1819 of 2016, Article 580-1 allows withholding tax returns to be filed without payment, provided they are filed on time, that is, before or on the due date. In this way, a withholding tax return filed on time is no longer considered late if it is not paid at the time of filing, which is what occurred before this law.

However, it must be taken into account that payment must be made within two months after filing, together with the corresponding interest. Article 580-1 states:

“ARTICLE 580-1. INEFFECTIVENESS OF WITHHOLDING TAX RETURNS FILED WITHOUT FULL PAYMENT. Withholding tax returns filed without full payment shall have no legal effect whatsoever, without the need for an administrative act declaring it.”

Nevertheless, Article 270 of Law 1819 of 2016 added the following paragraph:

“The withholding tax return that has been filed without full payment before the deadline for filing, or on time, shall have legal effect, provided that full payment of the withholding is made or has been made no later than within two (2) months following the due date for filing. The foregoing is without prejudice to the assessment of any applicable late-payment interest.”

The underlining is ours.

This is undoubtedly a relief for taxpayers, although this possibility should not be abused and the culture of filing and paying taxes at the time they are due should be maintained.

It is important to stay aware of the due dates in the 2022 tax calendar in order to avoid late filing of taxes before the DIAN.

If you have pending national or municipal tax filings, or if you have questions about them, contact us here or at 310 558 91 17.

How to know whether I must file an income tax return

The dates are approaching for individuals to file their income tax returns for taxable year 2017. Many people wonder how to know whether they must file an income tax return and how to do it.

Decree 1951 of 2017 determines the filing dates for tax returns in 2018. This decree modifies the Single Tax Decree and establishes who must file the income tax and complementary tax return for taxable year 2017 under the schedular system, using the form prescribed by the DIAN.

Who did not have to file an income tax return for 2017:

Gross assets on the last day of taxable year 2017 did not exceed 4,500 UVT ($143,366,000).

Gross income was less than 1,400 UVT, that is, $44,603,000.

Credit card consumption did not exceed 1,400 UVT, $44,603,000.

Total purchases and consumption did not exceed 1,400 UVT, $44,603,000.

The total accumulated value of bank deposits, deposits or financial investments did not exceed 1,400 UVT, $44,603,000.

Nevertheless, to determine whether you are required to file an income tax return, it is important to carry out a personalized analysis, because each case is different.

It is very important to confirm whether or not you are required to file your return. Even if the general requirements suggest that you are not required to file, there may be other circumstances that could include you among those required to file.

Filing an income tax return does not necessarily mean tax must be paid. Many returns have a very low amount payable, zero tax payable or even a balance in favor. However, failing to file when required is usually more costly because the return must be filed with the corresponding late-filing penalty and late-payment interest.

There are less than 15 days before the deadlines begin. Individuals whose ID numbers end in 00 and 99 have until August 9.

Contact us; the first consultation is free.

If you need more information, advice or guidance, request an appointment and tell us about your case so we can review the next step.

Schedule an appointment

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