Bogotá proposes 60% discount on tax and fine interests

Bogotá Mayor Carlos Fernando Galán has proposed a tax reform measure that would offer a 60% discount on interests and penalties for citizens with outstanding debts. The proposal, part of the ‘Agreement for an Intelligent City’ project, aims to help taxpayers regularize debts related to property tax, vehicle tax, ICA tax, urban alignment, and traffic fines incurred up to 2024.

Under this scheme, debtors would be required to pay the full principal amount plus 40% of the accumulated interests or sanctions, receiving a direct 60% reduction on the surcharges. The implementation of this benefit is contingent upon approval by the Bogotá City Council. The administration projects that the broader tax reform could generate an annual revenue of 1.2 trillion pesos starting in 2027.