Based on Resolution 96 of 2024 of the Colombian Tax Office according to which Hong Kong was included in the list of jurisdictions with international treaties or agreements allowing an effective exchange of tax information with Colombia, on December 13, 2024 the Colombian Government issued Decree 1496 of 2024 through which the list of tax havens was updated. Among other jurisdictions, Hong Kong was removed from the list of non-cooperative jurisdictions.
Resolution 96 of 2024 acknowledged Hong Kong as a jurisdiction with the ability to exchange tax information with Colombia. Consequently, the issuance of the decree confirms the Government's commitment to review the tax havens list, in accordance with Section 260-7 of the Colombian Tax Code.
With this in mind, Hong Kong will no longer be classified as a tax haven. Transactions carried out with entities or individuals located in this jurisdiction will no longer be subject to transfer pricing regime and payments will no longer be subject to maximum withholding tax rate.
If you have any questions about the scope or effects of this draft decree, please do not hesitate to contact us.
