Background: What is the Patrimonio Tax?
The Patrimonio (Wealth) Tax is a tax on net assets (patrimonio líquido) of legal persons and branches of foreign entities, triggered on 1 March 2026 under Decreto Legislativo 173 de 2026, later modified by Decreto Legislativo 240 de 2026. (normograma.dian.gov.co)
Decree 173 initially set a base exclusion for entities falling under certain sectors; later, Decree 240 imposed a uniform rate of 0.50% for most entities under numeral 6 of Article 292-3 of the Colombian Tax Code, and a higher rate of 1.6% for financial entities, mining/oil extractors, and other specified sectors. (normograma.dian.gov.co)
Who is impacted – and who is exempt
| Subject | Thresholds & Inclusion | Exemptions |
|---|---|---|
| Legal entities (domestic) and foreign with Colombian branches / permanent establishments that have net assets ≥ 200,000 UVT as of 31 March 2026 | Excluded: entities in the health sector, public utility companies located in municipalities under emergency status, and entities under state control through authority inspections. (normograma.dian.gov.co) | $200,000 UVT ≈ significant sum—make sure to translate to current pesos with UVT value. |
Rates and Calculation
- Base taxable value: patrimony líquido (net worth), minus existing liabilities tied to activities subject to Colombian income tax. (normograma.dian.gov.co)
- Rates: 0.50% generally; 1.6% for financial sector, oil & mineral‐extraction, etc. Also applies to foreign branches (establecimientos permanentes).
- Filing date: as of 1 March 2026 and with payments likely following notices from DIAN.
Planning & Mitigation Strategies
- Asset structuring before 31 March 2026: Entities close to the threshold may shift liabilities, restructure ownership or asset location.
- Use of exemptions: If operating in healthcare, public utilities or under state intervention in declared emergency zones, ensuring proper classification can lead to exclusion.
- Foreign branches: If most assets are held outside Colombia, check treaty implications and establish clearer separation to avoid inclusion in the Colombian base.
- Offsetting liabilities: Recognize what counts as valid liabilities as of cut-off date. Bank debt or inter-company debt may help reduce net asset base.
Example
A domestic Colombian manufacturing company has net assets of 210,000 UVT, with significant fixed assets and some debt. It's not in health sector or emergency zone, so subject to 0.50% rate. But with appropriate liability support (e.g. legitimate depreciation reserves or debts tied to production) it may reduce base a few UVT. By contrast, a national bank or oil field operator would face 1.6% rate, elevating cost significantly.
Key takeaways for decision-makers
- Don’t wait for the tax notices. DIAN’s doctrine and oficios already clarify many ambiguities in interpretation. Use concept‐oficios to confirm exclusion eligibility. (dian.gov.co)
- Internal financial reporting should be adjusted now to segregate assets and properly classify liabilities.
- If large balance sheets or asset heavy, consider whether local incentives or sectors offer refuge for exclusion.
- Use this as part of broader tax risk management—miscalculation or missed filing could incur significant penalties.