Employer Tax Contributions

Tax Type	Rate (Employer Contribution)	Base
Pension	12%	Monthly Salary
Health	8.5%	Monthly Salary
Professional Risks (ARL)	0.522% - 6.96% (depending on risk)	Employee's Salary (capped at 25x monthly minimum wage)
Parafiscal Contributions (SENA, ICBF, Family Compensation Fund)	4% or 9% (exemptions may apply for salaries below 10x minimum wage)	Employee's Salary

Filing & Compliance

• Social security and parafiscal contributions are due monthly via the PILA system; deadlines vary by employer's tax identification number (NIT).
• Income tax withholding (Retención en la Fuente) must be reported and paid monthly to DIAN; deadlines vary by employer's NIT.
• Annual information returns (Medios Magnéticos) detailing payments and withholdings are typically due in the first few months following the tax year.

Income Tax Brackets

Income Range (UVT)	Tax Rate
0 - 1,090	0%
1,090 - 1,700	19%
1,700 - 4,100	28%
31,000 and up	39%

(UVT value is COP 49,799)

Employee Contributions

Deduction Type	Rate	Cap
Social Security	10%
Pension Contributions	4%	Employees earning over four minimum legal monthly salaries contribute an additional 1% to the pension solidarity fund.
Health Contributions	4%

Personal Allowances

• Mortgage interest paid in Colombia: up to 1,200 UVT annually.
• Healthcare expenses for taxpayer, spouse, and children: up to 16 UVT monthly.
• Dependant deduction: 10% of gross labor income, up to 32 UVT monthly.