Colombia enacted Legislative Decree 1474 on 29 December 2025, raising VAT on alcoholic beverages to 19% from 5%, imposing 19% VAT on online gambling, and reducing the VAT‑free threshold for low‑value imports from USD 200 to USD 50. The decree also allocates 5% of the alcoholic beverage VAT to departments. These measures aim to stabilise public finances after the 2026 budget rejection.
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iGamingBusiness · 6 months ago
Colombia’s Constitutional Court suspended the emergency decree that imposed a 19% VAT on online gambling, leaving operators subject only to the standard 15% GGR tax. The suspension, effective from 29 January 2026, will remain until the court’s plenary chamber issues a final decision. The 19% VAT, originally introduced in February 2025 on deposits, expired on 31 December 2025 before being shifted to GGR.
ColombiaOne.com · 7 months ago
Colombia will impose a 10% VAT on gasoline and diesel from Jan 1 2026, alongside a 90‑peso per gallon gasoline and 99‑peso per gallon diesel price adjustment. The government also raised the minimum wage by 22.7% to 1.75 million pesos, while inflation is projected to stay above 4% by year‑end, prompting potential price‑control measures.
iGaming Business · 7 months ago
Colombia’s government has shifted the 19% value‑added tax on online gambling from deposits to gross gaming revenue (GGR) for the 2026 fiscal year. The emergency decree, issued after the 2025 Financing Bill failed, re‑allocates the tax to GGR, reducing the effective burden on operators from up to 70% of real income to about 34% of gross revenue. The change is expected to fill a COP16.3 trillion budget gap for 2026 but may face legal challenges.
Innovate Tax · about 18 hours ago
Brazil: On 3 August 2026, the VAT reform moves from voluntary to mandatory validation, requiring CBS and IBS fields on all electronic invoices. The test rate of 1% (0.9% CBS, 0.1% IBS) remains informational, with no payment obligation yet, but non-compliant documents will be rejected.
1stopVAT · about 22 hours ago
Illinois: Use tax applies to tangible personal property purchased in Illinois when sales tax is not collected, while Chicago imposes municipal taxes on digital services such as SaaS and streaming.
The BayNet · about 23 hours ago
Maryland: The Supreme Court ruled that Potomac Edison’s transmission equipment qualifies for a sales and use tax exemption, affecting over $3.24 million in taxes. The decision clarifies which components are exempt and sets limits on refund claims.
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Key Takeaways
From 29 December 2025, alcoholic beverages are subject to a 19% VAT, up from the previous 5% rate.
Five percent of the 19% VAT on alcoholic beverages is allocated to departments, in line with Article 33 of Law 1816 of 2016.
The 19% VAT on online gambling, based on gross gaming revenue, applies from 29 December 2025.
Effective 29 December 2025, the VAT‑free threshold for low‑value imports via postal or express delivery is reduced to USD 50, with goods above that amount subject to import VAT.
Primary source
Read the full article at VatCalcThis summary was published on VATfaqs.com on 31 January 2026. It relates to VAT developments in Colombia. The original source is VatCalc.
