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Colombian Tax Authority Clarifies Certification Requirement for Third-Party Debts Under Thin Capitalization Rules

|Approved Changes|Colombia
Colombia

The Colombian tax authority (DIAN) recently released Ruling 805 of 23 September 2024, which provides guidance on the required certification of third-party debts for interest deduction purposes under the thin capitalization rules. As provided in paragraph 1 of Article 118-1 of the Tax Statute, where an unrelated resident or non-resident acts as a creditor, it must be certified that the credit o…

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