One special feature of taxation in Colombia, which applies to taxes on sales/purchases and withholding taxes, is the use of two tax systems: the general system (regimen común) and the simplified system (regimen simplificado).

Generally speaking, the general system applies to corporations, whereas the simplified system is for individuals who run small businesses: The law states that the latter applies to businesses with no more than two establishments and an income below a certain amount. As its name suggests, the simplified system is less complex than the general system, and the taxes are lower.

Country Version Colombia comes with sample settings for both systems.