The Dian explained it: this is how net income should be declared

The National Tax and Customs Directorate (DIAN) addressed a concept that often causes confusion among Colombian residents. In this regard, it clarified the process a taxpayer must follow to declare net income, a fundamental aspect when paying their respective obligations. What does this entail?

You should know that it is not just a number, but an amount calculated based on the taxes you must pay, taking into account the income you receive. Through a publication available on its official X account (previously known as Twitter), the entity uploaded a video in which it aims to clarify doubts for those who are performing this procedure for the first time.

José Fernando Sierra Faria, an expert from the DIAN's Collection Subdirectorate, emphasized that the values related to the taxable net income of the general schedule, the taxable net income of the pension schedule, and sub-schedules 1 and 2 of the dividend and participation schedule are found on Form 210. (See more: These are the 7 professions that could be the highest-paid in Colombia by 2030)

These figures will be added together and subtracted from the tax corresponding to dividends and participations under sub-schedule 2. The result of this operation is known as the net taxable income for personal income tax. "This value, which you can find on your Form 210 in box 111, will be the one calculated at the rates established in Article 241 and will allow you to determine the amount of your tax liability," the official stated. (See more: These are the 9 careers that aren't worth pursuing in Colombia, according to the IA.) Sierra recalled that filing a tax return is not the same as paying, as this tax amount can range from around 19% to 39%, considering income and, of course, the applicable deductions. When is the deadline to comply with these obligations?

The aforementioned entity stated that the income tax return process for individuals will begin on August 12 and end on October 24 of this year . This will depend on the last digit of the taxpayer identification number (NIT) (See more: The Dian clarified: if you earn more than this amount, you must file an income tax return). Compliance with this measure will prevent taxpayers from facing financial penalties and will guarantee the proper functioning of the Colombian tax system, taking into account the social programs currently being implemented by the National Government led by Gustavo Petro and the amount allocated to essential public services and infrastructure. To comply with this procedure, the agency has several tools available to help you pay your obligations in a timely manner and in simple steps.