DIAN REVENUE RULING
DIAN issues revenue ruling clarifying several tax obligations of non-profit entities
By means of Revenue Ruling 01622 of 2017, DIAN specified that non-profits shall charge VAT when selling taxed services or goods
DIAN stated that non-profit entities entities shall charge value added tax –VAT – when rendering taxed services or selling taxed goods. In this case, no special treatment applies for taxed goods sold by non-profit entities. Additionally, and when applicable as per the rules and regulations of the municipal jurisdictions in which they operate, non-profit’s may be required to comply with municipal taxes such as the Industry and Commerce Tax.
As for the obligation to issue invoices, to act as withholding tax agents and to file and comply with other formal tax obligations, these entities must comply with them in accordance to applicable regulations.