Reforma Tributaria Colombia - Taxed Into Oblivion! #ParoNacionalAbril28
I can honestly say that the only thing I fear is God and taxes. As a foreign resident I have heard the horror stories of other expats who got hit by la Dian (the Colombian IRS), for mucho dinero, and it wasn't pretty.
Now as the Colombian Reforma Tributaria, or TAX REFORM looms on the horizon, this is a pivotal moment that everyone needs to really stop and think about what is happening in order to fully understand the impact. So let's break it down!
> I am going to translate a document that is circulating via social media here in Colombia. There is no leads as to who the creator is, but I of course give him FULL credit for the breakdown which I am going to explain and of course encourage you to share this information with your friends and relatives.
At the end of this article I will include a link to the document.
Reforma Tributaria for Dummies
Does what Duque and Carrasquilla say, affect me?
Translation by Erin Donaldson
Are you from Strata 4, 5 or 6?
**Prepare to pay 19% IVA (luxury tax) on public services, like water and gas.
And the Internet?
**If you are in Strata 3 and up, you also have to pay 19% more on your bill.
And if I Die?
**Well, now all funeral services must pay IVA. Did you know, Duque is a visionary, and since he noticed that the COVID deaths have gone up, well, Bang! Taxes for the dead.
Do you live in the City?
**The Reforma Tributaria permits the creation of peajes, or toll booths INSIDE of the city which means you could have to pay a toll halfway to your destination WITHIN the city.
I have a Motorcycle!
**Well, now motorcycles must ALSO pay tolls.
The gasoline and ACPM (natural gas)
Also, they will be hit with 19% more taxes. The gallon you buy today will go up 1,300 pesos more.
I don't have a car!
**It doesn't matter! The augmented price of gasoline will increase the cost of public transport, of food transport, and hundreds of assets necessary for daily life.
**Yes, with the reforma tributaria the price of computers, cell phones and tablets will increase. A computer that costs 1,815,000 will go up to 2,160,000, while a cell phone or tablet up to 798,000 will cost 950,000 for the IVA (Value Added Tax). (Oh! And, don't forget to pay the IVA on your internet)
And, if I am middle class?
**ALL people who have an income higher than 2,420,000 must pay RENTA (income tax). The lañapa (or extra bonus), in 2023 the people who have income above 1,624,000 Also must pay RENTA, the income tax.
And if I am a young worker?The project comes with the precariousness of young'uns, women and senior citizens: proposes that in some scenarios you don't have to be affiliated with a "caja de compensasión" (compensation funds), but they will be deprived of family subsidies and benefits.
And the food?
**Duque said no, but...
Products like beef, pork, fish, milk, cheese, eggs, medicine, tampons, will pass exempt and excluded from the IVA.
I don't understand, ha ha ha.
**Today you buy a cut of beef, of pork, and you don't pay IVA because it is exempt. If it passes with this exemption, the difference will be paid in the cost of production. In the condition of exemption, the producers can recuperate these paid IVA (taxes) in the production phase and the cost will be passed on to the consumers making the food of Colombians more expensive.
And, if I live in the countryside?
**The reform puts taxes on agricultural supplies: outboard motors, bricks, weed eaters, fertilizer, tractors, irrigation districts and other resources will have the IVA (which is 19%) tax.
This increases the cost of construction, home upkeep, agriculture, etc...
And if I am a public servant?
**Salary increases will be frozen for 5 years, except for "public force" (the order followers with boots, guns and badges). We are insisting that it doesn't affect the salary (but impacting in a negative way the additional demand and consumption) and how will we come out of this crisis. On the contrary, it will affect the economy even more.
What does Article 33 in the reforma tributaria say?
**(Translation notes: hmm, a very Masonic number, could be a hat-tip to a bigger agenda) The Tax Reform comes with investment cuts in all the budget organisms including health and education, except military forces. Money for war, they have, but for health and education, no.
How can we stop this Economic Hit and Run?
- Educate your family, friends and contacts about the inconvenience of this reform.
- Show the evidence to your congressman who are approving this project, and how you will punish them at the polls.
- Support social mobilization planned for APRIL 28th, 2021 against this Economic Hit and Run against our country.
**End of Translation
Be sure to check out the below link to the original document below and then share it with all your Colombian friends and family so we can stop this atrocity!
*Reforma Tributaria para Dummies (Español)