Global Property Guide

Financial Information for Residential Property Buyers


Tax Example: Rent

Last Updated: July 13, 2018

Non-resident couple´s rental income1      
Monthly Rental Income2 1,500 6,000 12,000
Annual Rental Income 18,000 72,000 144,000
Less: Expenses3 25% 4,500 18,000 36,000
= Taxable Income 13,500 54,000 108,000
Income Tax Rates4
Flat rate 33% 4,455 17,820 35,640
Annual Income Tax Due 4,455 17,820 35,640
Tax Due as % of Gross Income 24.75% 24.75% 24.75%
Thanks to:
Triana, Uribe & Michelsen

Notes


1 The property is jointly owned by husband and wife.

2 Exchange rate used: 1.00 USD = 2895.00 COP

3 Estimated values. Income-generating expenses are deductible when calculating taxable income.

4 Rental income earned by nonresident individuals is taxed at a flat rate of 33%.

 

Comments

Be the first to comment on this article!

Login or Register to submit a comment!
In order to promote open and spam-free conversations, Global Property Guide moderates commetns on all articles. You can expect that your comment will be published within 24 hours.