Under the state of internal disturbance declared in the Catatumbo region, the National Government enacted a series of tax measures aimed at providing social and economic solutions to the crisis in the area and preventing its effects from spreading to neighboring regions or the rest of the country. Among the adopted provisions, a special tax for Catatumbo stands out: the extraction of hydrocarbons and coal will be subject to a 1% tax at the time of export or first sale within the country. Additionally, the government introduced VAT on online betting and games of chance, and temporarily modified the stamp tax rate, setting it at 1% until December 31, 2025.
Focusing on the stamp tax, this adjustment represents a shift and a return to past tax policy in Colombia, considering the historical trend toward the gradual elimination of this levy.
The stamp tax is a long-standing duty initially regulated under Law 2 of 1976, and has undergone numerous modifications over time. Starting with Law 1111 of 2006, its applicability was progressively reduced until it reached a 0% rate in 2010, effectively phasing it out as a meaningful source of revenue. However, Law 2277 of 2022 reintroduced the stamp tax for certain documents, particularly those related to the transfer of high-value real estate. This development prompted a revisit of tax regulations and renewed focus on a tax that many believed to be obsolete.
With the issuance of Decree 0175 of 2025, under the framework of the internal disturbance declaration, the Government has temporarily reactivated the stamp tax at a 1% rate. This decision calls for an analysis of its impact on economic and contractual activities across the country.
The stamp tax is levied on documents that evidence the constitution, existence, modification, termination, extension, or assignment of obligations, provided that the value of the transaction exceeds 6,000 UVT (approximately COP $298,794,000). The tax also applies to public instruments and private documents—including securities—that are executed or accepted in Colombia, or that, although executed abroad, give rise to obligations within the national territory. Additionally, it applies to accepted commercial offers, even when the acceptance is executed in a separate document.
Despite the modification introduced by Decree 0175 of 2025, the exemptions established in Article 530 of the Tax Statute remain in effect. These include exemptions for pledge and mortgage agreements, public deeds for the purchase and sale of social interest housing, promissory notes documenting mortgage portfolios, and securities or documents related to the purchase and securitization of such portfolios. Furthermore, Article 530-1 exempts public deeds of transfer of real estate intended for urban housing in socioeconomic strata 1, 2, and 3 from the tax.
The economic impact of this decree on real estate transactions is one of its most significant implications. Article 519 of the Tax Statute provides that the stamp tax is triggered by the transfer of real estate valued at over 20,000 UVT, applying a progressive marginal rate. This provision, introduced by Law 2277 of 2022, was not modified by the decree issued under the state of internal disturbance, meaning the existing rules on real estate taxation remain unchanged.
The Colombian tax authority (DIAN), through its internal guidance, has clarified important aspects regarding the application of the stamp tax to real estate transfers. It has specified that the term “transfer” (enajenación) must be understood in a broad sense, encompassing any form of conveyance of ownership, whether for consideration or gratuitous. Moreover, in its opinion issued on February 21, 2025, DIAN confirmed that Decree 0175 does not alter the marginal rates established in paragraph 3 of Article 519 of the Tax Statute concerning real estate transfers by public deed. As such, those rates remain applicable only when the property’s value is equal to or exceeds 20,000 UVT.
It should be recalled that the same entity has clarified that certain transactions are not considered disposals for tax purposes and, therefore, do not generate stamp tax. Among these are the contributions of real estate to companies when they comply with the requirements of articles 319 and 319-1 of the Tax Statute, the transfers resulting from merger or spin-off processes when they comply with the conditions of articles 319-3 to 319-6 of the Tax Statute, the purchase or sale of foreign currency made through the systems of negotiation of foreign currency operations and the transfer of real estate in the liquidation of the marital partnership. However, in cases where real estate is transferred within the framework of a mercantile trust, stamp tax will be generated, since there is no tax regulation to the contrary.
The stamp tax, which at the time seemed to be heading towards its definitive disappearance, has been temporarily reactivated. Although its immediate impact will be focused on the needs of the Catatumbo region, the measure could lay the foundations for future structural modifications in the taxation of documents and legal acts in Colombia, a matter that has already occurred in the fiscal history of this country with taxes such as the wealth tax and the temporary 2 per thousand that later escalated in rate to 4 per thousand and then the congress made it permanent.
This implies a challenge for the fiscal planning of daily operations that may be taxed with this tax, which is why it is important that both advisors and taxpayers structure each negotiation in such a way that they can budget or optimize their businesses taking into account this new factor that directly impacts the taxpayers’ pockets and that they keep themselves informed about the evolution of this tax and its possible implications in the short and medium term.
It should be noted that the Colombian tax authority (DIAN) has clarified that certain transactions do not constitute disposals (enajenaciones) for tax purposes and therefore do not trigger stamp tax. These include contributions of real estate to companies that satisfy the conditions set out in Articles 319 and 319‑1 of the Tax Statute; transfers arising from mergers or spin‑offs that meet the requirements of Articles 319‑3 to 319‑6; purchases or sales of foreign currency executed through authorised foreign‑exchange trading systems; and transfers of real property made in the liquidation of a marital estate. Conversely, when real estate is conveyed under a commercial trust (fiducia mercantil), stamp tax applies because no statutory exemption exists.
A levy that once seemed destined for abolition has thus been temporarily reinstated. Although its immediate application is directed at addressing the needs of the Catatumbo region, the measure could lay the groundwork for future structural changes in Colombia’s taxation of documents and legal acts—an outcome with precedent in the country’s fiscal history, as seen with the wealth tax and the temporary “two‑per‑thousand” levy that later rose to four‑per‑thousand and was ultimately made permanent by Congress.
This development poses a challenge for the tax planning of day‑to‑day transactions that may now fall within the scope of the stamp tax. Advisors and taxpayers should therefore structure each deal so they can accurately budget for—or, where feasible, mitigate—the resulting cost, while keeping abreast of the tax’s evolution and its potential short‑ and medium‑term implications.
[1] Concepto DIAN 100208192 – 236 del 21 de febrero de 2025
