Tax law is the set of rules and principles that regulate the tax system. It is a branch of public law that is responsible for regulating the relationship between taxpayers (who may be individuals or legal entities) and the State with respect to the payment of taxes and other duties. It is mainly regulated by the Political Constitution and the Tax Statute.
Specialists in Tax Law in Colombia
The specialization in tax law does not have an exact date of arrival in Colombia since its importance was gradually noticed by society. However, tax law as a legal discipline began to gain strength with the issuance of the Tax Statute in 1989, as it implied the updating and modification of tax regulations in the country. As a result, the need for lawyers specialized in this area was identified and the academic offerings began to be opened.
Tax Attorneys in Colombia
Currently, lawyers with this specialization and expertise are on the rise for several reasons:
- Increased complexity in tax regulations: tax regulations in the country are increasingly extensive and can be very changeable.
- Increased demands by the tax authorities: the National Tax and Customs Directorate and other authorities in this area have increased their surveillance and control.
- Increased business competition: Increased competition in the business sectors has led companies to seek to reduce their costs and maximize their profits, which is why effective tax management and an appropriate tax strategy are favorable.
- Increased importance of tax planning: tax planning allows for cost reduction and optimization of the tax situation.
Tax advice for companies and individuals
For the above reasons, companies and individuals have seen the need to hire this type of lawyers and receive advice and have perceived great benefits by hiring this service so that the demand for this service has been increasing.
Tax lawyers are those who provide individuals and legal entities with legal advice and representation in tax matters, facilitate compliance with tax obligations and minimize the impact of the tax burden. The main functions they perform are:
- Tax advice: this advice deals with tax laws, compliance with tax obligations, reducing the tax burden and avoiding penalties and fines.
- Tax planning: this type of lawyers design strategies to optimize the tax situation of their clients and use legal tools that allow them to minimize the tax impact.
- Representation in tax proceedings: represent clients when they are subject to a tax audit, a tax review or an administrative litigation process before the National Tax and Customs Directorate (DIAN) or any other process that is within the tax area.
- Business structuring: they analyze the possible consequences of carrying out a business or transaction, its impact and possible scenarios.
Importance of Tax Lawyers in Colombia
Tax lawyers are of special importance for companies as they contribute to growth by minimizing the payment of taxes and avoid possible penalties, also provide advice on possible business contributing to the company to make the best decisions. They are also important for individuals as they help them avoid penalties and help reduce the economic impact derived from the payment of taxes and duties.
- What a tax lawyer does. (2010, December 25). Universia. https://www.universia.net/pe/actualidad/empleo/que-hace-un-abogado-tributario.html
- Labor overview of tax law in Colombia. (n, f.). Poliverse. https://www.poli.edu.co/blog/poliverso/derecho-tributario-en-colombia-panorama-laboral
- Justice, R. (2022, January 25) . This is the work of a tax lawyer in Colombia. El Tiempo. https://www.eltiempo.com/justicia/servicios/abogado-tributario-que-debe-hacer-y-cuales-son-sus-funciones-647029
- What is the importance of tax law. (2022, November 21). Euroinnova Business School. https://www.euroinnova.edu.es/cual-es-la-importancia-del-derecho-tributario
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