What is the annual property tax rate in Colombia?

Each municipality sets its own rate within the national band of 1-16 por mil (0.1%-1.6%) of the official cadastral value for most built properties. Bogota charges 5.5-12.3 por mil for residential properties on a progressive scale. Unbuilt urbanized lots can reach 33 por mil. There is no single national rate.

Are there early-payment discounts on the Impuesto Predial?

Yes, most major municipalities offer pronto pago discounts. Bogota offers a 10% discount for full payment by late April each year. Medellin offered a 5% discount for payment by March 27, 2026. Deadlines and percentages vary by municipality and are set annually by the local Concejo or Secretaria de Hacienda.

What taxes are due when buying or selling Colombian real estate?

A property transfer triggers an impuesto de registro of 0.5%-1% (departmental), a beneficencia charge of roughly 1% in many departments such as Antioquia, and notary fees of approximately 0.54% of the deed value. Transactions above 20,000 UVT also attract a 1% stamp tax. The seller pays 1%-2.5% withholding at source, credited against income or capital-gains tax.

How does the net-wealth tax (Patrimonio) affect property owners?

Natural persons with liquid net patrimony above 72,000 UVT (approximately COP 3.77 billion in 2025) pay the Impuesto al Patrimonio at marginal rates of 0.5%-1.5% under Ley 2277 de 2022. Real property is valued at the higher of fiscal cost or cadastral value. The first 12,000 UVT of a primary residence is excluded from the taxable base.

What is the capital gains tax rate on selling Colombian property?

Gains on property held more than two years are taxed as ganancia ocasional at a flat 15% rate under Ley 2277 de 2022. If the property was held two years or less the gain is treated as ordinary income at progressive rates up to 39%. A withholding of 1% or 2.5% is collected at the notary and credited against the final liability.

Property Tax Overview in Colombia — Rates, Rules & Filing

What is the Impuesto Predial Unificado and who must pay it?

The Impuesto Predial Unificado (Unified Property Tax) is an annual municipal tax imposed on all urban and rural real property in Colombia. Each of Colombia's roughly 1,100 municipalities administers the tax independently, setting rates within national limits established by Ley 44 de 1990 and updated by Ley 1450 de 2011. The taxable base is the official cadastral value (avaluo catastral) maintained by IGAC (Instituto Geografico Agustin Codazzi) or delegated local cadastral authorities, not the commercial market value. For 2026, Decreto 1480 of December 30, 2025 set a national reajuste of 3% for properties whose cadastral values were not individually updated during 2025. [1] Bogota's own cadastral authority (SDH) issued Resolution SDH-000194 applying a separate 10.02% adjustment for the city. [2]

What rates apply to residential and commercial properties?

Ley 44 de 1990, Article 4, authorizes municipal councils to set rates between 1 per mil (0.1%) and 16 per mil (1.6%) of the avaluo catastral for built residential and commercial properties, and up to 33 per mil (3.3%) for urbanizable unbuilt land. Rates must be set in a differential and progressive manner based on socioeconomic stratum (estrato 1-6), land use, and property value. Social-interest housing and small rural agricultural properties must receive the minimum rates. [3]

In practice: Bogota's 2026 residential scale (Acuerdo 897 de 2023 / Resolution SDH-000194) runs from 5.5 por mil for properties valued up to COP 194 million to 12.3 por mil above COP 2.5 billion, with commercial parcels at 8-9.5 por mil and idle urban land up to 33 por mil. Medellin offers a 5% pronto pago discount for full payment by March 2026. Bogota's equivalent discount is 10%, valid through late April 2026. [4]

Property Category	National Rate Band (Ley 44/90)	Bogota 2026 Indicative Rate
Residential stratum 1-2, low value	1-3 por mil (0.1%-0.3%)	1-3 por mil
Residential stratum 3-4, mid value	5-16 por mil (0.5%-1.6%)	5.5-9 por mil
Residential stratum 5-6, high value	5-16 por mil (0.5%-1.6%)	9-12.3 por mil
Commercial / industrial	5-16 por mil (0.5%-1.6%)	8-9.5 por mil
Unbuilt urbanized lots	up to 33 por mil (3.3%)	up to 33 por mil

Annual increase caps under Ley 1995 de 2019: no property's bill may rise more than 50% year-on-year; strata 1-2 residential properties with avaluo up to 135 SMMLV are capped at 100% of IPC (consumer price index). [5]

What taxes apply when transferring or selling real property?

There is no single national transfer tax in Colombia. Instead, a property transfer typically triggers three layered costs, all calculated on the higher of the deed value or the avaluo catastral.

Impuesto de Registro (Registration Tax): Governed by Chapter XII of Ley 223 de 1995, this departmental tax is set by each Departmental Assembly within the band of 0.5%-1% of the transaction value. Cundinamarca/Bogota distributes the proceeds 70% to the department and 30% to the district. The buyer is the primary obligated party and must pay before registration at the Oficina de Registro de Instrumentos Publicos. [6]

Beneficencia Departamental: In departments such as Antioquia, a separate beneficencia charge of approximately 1% applies on top of the registration fee. Not all departments levy this separately. [7]

Derechos Notariales (Notary Fees): Regulated by the Superintendencia de Notariado y Registro (Resolution 00179 of January 10, 2025 for 2025 tariffs), notary fees run approximately 0.54% of the transaction value and are typically split equally between buyer and seller. [8]

For transactions at or above 20,000 UVT (approximately COP 995 million in 2025), a stamp tax (timbre) of 1% also applies on the deed value. A withholding-at-source (retencion en la fuente) of 1% (or 2.5% for non-residential or higher-value sales) is collected from the seller at the notary and credited against the seller's income or ganancia ocasional liability. [9]

Combined, a typical residential transfer in Bogota carries a buyer-side cost of roughly 2%-3% of the purchase price in taxes and fees, before any agent commission.

How is the net-wealth tax (Patrimonio) calculated for property owners?

The Impuesto al Patrimonio was permanently reintroduced by Ley 2277 de 2022 (effective for tax years 2023-2026) and is administered by DIAN. For 2025, the threshold is a liquid net patrimony of 72,000 UVT (COP 3,770,928,000 at the 2025 UVT value of COP 52,374). Natural persons and illiquid estates above that threshold pay on a marginal scale: 0.5% on the band from 72,001-122,000 UVT; 1% on 122,001-239,000 UVT plus 250 UVT; and 1.5% above 239,000 UVT plus 1,420 UVT. [10]

Real property is included in the patrimony base at the greater of the fiscal cost adjusted per Article 73 of the Estatuto Tributario or the avaluo catastral as of January 1 of the tax year. Natural persons may deduct up to 12,000 UVT of the value of their primary residence before computing the base. Foreign-held real estate of Colombian tax residents is also included.

Note: Decreto 1474 de 2025, which attempted to lower the 2026 threshold to 40,000 UVT, was declared unconstitutional by the Constitutional Court (Sentencia C-079 de 2026); the Ley 2277 framework remains in force for 2026 unless new legislation is enacted. A qualified tax professional can confirm the current 2026 position. [11]

What is the ganancia ocasional on property disposal?

See the related guide Colombia capital gains tax for full detail. In brief: under Ley 2277 de 2022, gains on real property held for more than two years are taxed as ganancia ocasional at a flat 15%. Properties held two years or less generate ordinary income taxed at progressive rates of up to 39%. The fiscal cost is adjusted annually using the factor set by decree (5.81% for 2025 per Decreto 174 de 2025). [12] A primary-residence exemption exists for qualifying sales where proceeds are reinvested. Withholding at source (1% or 2.5%) is collected by the notary. The disposal gain is reported on DIAN Form 210, with the 2025 filing window running August 12 through October 26, 2026.

All property taxes, fees, and disposal gains involve multi-authority compliance across DIAN, departmental beneficencia offices, and municipal haciendas. Consult a qualified tax professional before completing any Colombian property transaction.

For jurisdiction-level information or to find a listed Colombian tax professional, see the Colombia country overview.

Property Tax Overview in Colombia

Key points