Income tax returns would increase for some due to tax reform, according to Dian

People who earn from 10 million pesos upwards would see an increase in their income tax returnthis is due to the recent tax reform carried out by President Gustavo Petro.

This was stated by Luis Carlos Reyes, director of the Dianwho indicated that “these people could have this amount increased” which, it is worth mentioning, must be paid in the month of August.

(More: The alerts that go off after the drop in tax collection).

The official, close to assuming the Ministry of Commerce, Industry and Tourismassured in dialogue with EL TIEMPO that “In an economy with high levels of inequality, it is essential that the tax system be progressive and that those with greater economic capacity contribute more“.

This means that one of the objectives of the latest tax reform is increase tax revenue from people with higher assets.

(We recommend: April tax collection was $21.5 billion below the Government’s calculation).

The tax reform ‘puts the highest salaries on the line’, but it also has benefits for those who earn less. According to the director of Dian, those who earn more than 10 million pesos “they could pay (in the income tax return) even less because important benefits were added in the reform“.

One of these gabelas has to do with the possibility of deducting income tax for up to four dependents.

(We recommend: Freeze spending, the possible way out of the fiscal gap in the National Government).

Income tax return

PHOTO: iStock

Another benefit is a extra discount. Reyes mentioned that taxpayers can obtain a reduction of up to 1% by showing the electronic invoice for purchases made in different businesses. The outgoing director of the Dian assured that this benefit seeks to encourage the use of electronic invoicing in different businesses and make commercial transactions more transparent.

(More: Cash problems have the Petro government at risk of falling into a default scenario).

Reyes indicated that the deductions and discounts aim to alleviate the tax burden of families with lower incomes and with this greater tax equity is achieved.

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