Source-cited draft: company formation & entity choice for Colombia (tax year 2025) — rates, thresholds and rules with primary-source citations. Unverified; pending local-accountant review.
Source-cited draft.Written from sources but not reviewed by a licensed practitioner, so it may be incomplete or wrong. General reference only; don't file or take a position on it without professional review.
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Most common entity — SAS
Sociedad por Acciones Simplificada — limited liability, 1+ shareholder, may be foreign-owned, no residency requirement for shareholdersLey 1258 de 2008 (SAS) — https://multilaw.com/Multilaw/Multilaw/Global_Business_Entities_Guide/Colombia_-_Simplified_Stock_Company.aspx
Other entity types
Sociedad Anónima (S.A.), Sociedad de Responsabilidad Limitada (Ltda.), branch of a foreign company (sucursal)Código de Comercio (Decreto 410 de 1971) — https://www.bizlatinhub.com/incorporate-a-company-in-colombia-everything-you-need-to-know/
Minimum share capital (SAS)
No statutory minimum; subscribed capital must be paid within 2 years of incorporationLey 1258 de 2008 — https://multilaw.com/Multilaw/Multilaw/Global_Business_Entities_Guide/Colombia_-_Simplified_Stock_Company.aspx
Incorporation document (SAS)
Bylaws may be a private document (no notarization required) unless real property/specific assets are contributedLey 1258 de 2008, art. 5 — https://nexo.legal/company-incorporation-colombia-2025/
Legal representative
At least one legal representative required; no residency requirementLey 1258 de 2008 — https://multilaw.com/Multilaw/Multilaw/Global_Business_Entities_Guide/Colombia_-_Simplified_Stock_Company.aspx
Registration with Chamber of Commerce
Register with the local Cámara de Comercio to obtain legal personality and Matrícula Mercantil (~5 business days)
The Sociedad por Acciones Simplificada (SAS) is by far the most common vehicle in Colombia — flexible, single-shareholder-capable, with no minimum capital and incorporation by private document. Companies acquire legal personality on registration with the local Cámara de Comercio.
Other Colombia computations in the OpenAccountants Tax Library.
Tax registration
Obtain RUT and NIT (tax ID) from DIAN; required before invoicing and bankingEstatuto Tributario Nacional (RUT obligation) — https://www.bizlatinhub.com/incorporate-a-company-in-colombia-everything-you-need-to-know/
Registry tax (impuesto de registro)
0.3%–1% of capital, depending on municipality/department, plus Chamber of Commerce registration fees %Ley 223 de 1995 (impuesto de registro) — https://nexo.legal/company-incorporation-colombia-2025/
Typical incorporation timeline
5 to 10 business days (Chamber of Commerce registration plus NIT) (approx — varies by city and bank onboarding)Ley 1258 de 2008 (procedural) — https://www.mg-legalgroup.com/n/sas-colombia-setup-guide-us-investors-2025
Annual commercial registry renewal
Renew Matrícula Mercantil with the Cámara de Comercio annually (deadline 31 March) (confirm current deadline)Código de Comercio — https://www.bizlatinhub.com/incorporate-a-company-in-colombia-everything-you-need-to-know/
Core annual compliance
File annual CIT return with DIAN, periodic VAT and withholding returns, financial statements, and (where thresholds met) exógena information returnsEstatuto Tributario Nacional; DIAN annual deadline decree — https://nexo.legal/taxes-in-colombia-companies-2025-guide/
Statutory auditor (Revisor Fiscal)
Required where gross assets exceed 5,000 SMLMV or gross income exceeds 3,000 SMLMV at prior year-endLey 43 de 1990; Código de Comercio art. 203 — https://multilaw.com/Multilaw/Multilaw/Global_Business_Entities_Guide/Colombia_-_Simplified_Stock_Company.aspx
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