The government is currently preparing a decree to regulate the newly introduced "fair tax" (impuestosobre la rentapara la equidad – CREE that was introduced by Law 1607 of 2012), which is payable by resident companies and non-resident companies deriving their income through a permanent establishment in Colombia. The decree is expected to be issued in early April 2013.
According to the proposed decree, CREE tax withholding will apply as from 1 May 2013. As a consequence, if the proposed de…