Foreign pension and Colombian tax

The below information was copied from DIAN'S web-site. It appears jubilado pensions are not taxed in Colombia which I think means a pension from a foreign country would also be exempt. (excluding the 50 salarios minimos mensuales)

I hope I'm reading this correctly and would appreciate opinions.

5. Las pensiones de jubilación, invalidez, vejez, de sobrevivientes y sobre riesgos profesionales, hasta el año gravable de 1997. A partir del 1° de enero de 1998 estarán gravadas sólo en la parte del pago mensual que exceda de cincuenta (50) salarios mínimos mensuales.

El mismo tratamiento tendrán las Indemnizaciones Sustitutivas de las Pensiones o las devoluciones de saldos de ahorro pensional. Para el efecto, el valor exonerado del impuesto será el que resulte de multiplicar la suma equivalente a cincuenta (50) salarios mínimos mensuales, calculados al momento de recibir la indemnización, por el número de meses a los cuales ésta corresponda. (Numeral Modificado Ley 223/95, art. 96)

By elk on May 24, 2007, 07:24 in Friendly Talkzone.

elk says on May 24, 2007, 10:53:

Translate please Cassini77: I'm not sure of the translation relating to your comment. Can you please translate and expand on your comment.

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elk says on May 24, 2007, 13:40:

Cassin77 Sorry, but I don't understand your translation..

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lawyer CO says on May 24, 2007, 14:46:

pension Well, the article quoted by Elk refers only for pensions granted under colombian law 100/93 not by the other pension for foreign citizens. Dont forget that the money comes through an international transaction and this is something taxed

Esteban R,
colombian lawyer
lawyerscolombia at yahoo.com

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aztec says on May 24, 2007, 15:42:

cassini77 "Dear lawyer CO

And you, what do you think about the taxation of foreign pensions?'

And! please site section of the regulation or law. Thanks.

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elk says on May 24, 2007, 16:28:

Colombian tax on foreign pensions Aztec: I too would like to see something in the form of a legal document. We currently have many foreigners holding the pensionado visa like myself and we would all like to know the answer to the above question. If the foreign pension is taxable combined with the current exchange rate then many holders of the visa will be forced to look for another place to live or choose anther visa type.

It doesn't seem fare to tax our pensions such as the social security benefit since we have already paid a large some of money to the U.S. government for said benefit. In addition hundreds if not thousands of Colombians lived and worked in the U.S. and are currently enjoying their social security benefits while living here in Colombia.
Do they pay Colombian tax?

How can Colombia tax the same funds again. I would like to hear from a few Colombians drawing a social check from the U.S. social security system, be it a disability rating or regular social security retirement benefit. What about our disabled American military men and women, are they also taxed here in Colombia?

I'm of the opinion the pension benefit isn't taxable here, and would be treated like a Colombian pension, but I could be wrong. Why would Colombia on one hand want to attract tourism like Costa Rica and then tax the foreign pensionado. It's simply not good business. Colombia should be offering benefits rather than forcing retirees to live in other countries. (Costa Rica, Panama for an example)

All comments and information appreciated....

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aztec says on May 24, 2007, 17:17:

Because Colombian leaders cannot... ...conceive of anyone wanting to retire in/to Colombia. Eventually they will become aware of the attraction Colombia has to foreigners for retirement.

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Patrick says on May 25, 2007, 15:40:

Sorry for above, wrong thread. Sorry wrong thread.

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lawyer CO says on May 25, 2007, 16:06:

information Dont worry dear member of PBH , in the next days( considering burocracy) i will have an official answer so I will post the answer and make a legal traslation.

Right now is good to have on mind that after 5 years, foreign citizens are obligated to PAY TAXES. Please be patient.

Esteban
lawyerscolombia at yahoo.com

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elk says on May 25, 2007, 16:26:

Esteban...Thanks This is important information for several members of PBH board members. It would be nice to have case law on the subject rather than opinion.

Thanks for your efforts

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