Colombia has significant natural resource wealth that is critical to its economy. The mining sector contributes considerably to Colombian government revenues through corporate income tax and mining royalties. Colombia’s mining sector has a “good” rating in the Resource Governance Index 2021.
Extractives Contribution
Main Mining Products
- Coal
- Emeralds
- Gold
- Nickel
What Are We Doing in Colombia?
Since Colombia entered our Deep Dive support program in 2020, we have worked with officials in government bodies related to taxation, finance, and mining to improve revenue collection from the mining sector.
Legal and Policy Support
We have reviewed Colombia’s tax treaty network, tax incentives granted to the mining sector, and its regulatory framework to address tax base erosion and profit shifting (BEPS) risks in mining. In 2021, we also submitted a report to the government with recommendations on tax treaty practice in the country.
Trainings
We have delivered trainings on tax treaties in partnership with the Organisation for Economic Co-operation and Development, as well as mineral pricing and value monitoring for coal, copper, and gold for royalty and tax purposes.
Audit Support
We are supporting the tax authority in improving their risk assessment framework and case selection and their training and auditing processes through the Tax Inspectors Without Borders program.