Site Search:
 
TEFL International Supports Dave's ESL Cafe
TEFL Courses, TESOL Course, English Teaching Jobs - TEFL International
Job Discussion Forums Forum Index Job Discussion Forums
"The Internet's Meeting Place for ESL/EFL Students and Teachers from Around the World!"
 
 FAQFAQ   SearchSearch   MemberlistMemberlist   UsergroupsUsergroups   RegisterRegister 
 ProfileProfile   Log in to check your private messagesLog in to check your private messages   Log inLog in 

Paying Tax in Colombia

 
Post new topic   Reply to topic    Job Discussion Forums Forum Index -> Colombia
View previous topic :: View next topic  
Author Message
Utica2008



Joined: 05 Oct 2011
Posts: 13
Location: Ireland

PostPosted: Mon May 28, 2012 8:54 pm    Post subject: Paying Tax in Colombia Reply with quote

Hello,

I recently got my work visa for Colombia and my boss is now taking 10% of my earnings for "tax". I am very sceptical if I should actually be paying this and it is possible that the boss is just taking it for himself/the institute. He also tried to tax myself and other teachers before we had our visas and this is why I am sceptical. We were still working illegally but he claimed he had a letter from the government saying that we could work and be taxed. This obviously wasn't true.

Sometimes we might only earn about one million pesos a month but regardless we are taxed 10% on every hour. A friend has told me that she doesn't think we should be paying this tax.

Any thoughts or does anyone know where I can find legit info on this? My Spanish isn't great and I can't exactly talk to the boss either.

Thanks
Back to top
View user's profile Send private message
windowlicker



Joined: 05 Jun 2008
Posts: 183
Location: Bogotá, Colombia

PostPosted: Tue May 29, 2012 12:48 pm    Post subject: Reply with quote

Info here:

http://forums.eslcafe.com/job/viewtopic.php?t=94297&highlight=prestacion++servicios

and here:

http://forums.eslcafe.com/job/viewtopic.php?t=85520&highlight=prestacion++servicios

Essentially, as long as you're on a "Prestación de Servicios" contract (and it sounds like you are), then you should be seeing somewhere around 10% deductions from your paycheck, which would include your health insurance (EPS) payment. If you're not on "Prestación de Servicios" or if you haven't been given health insurance, than something is fishy.

Regarding the tax on illegally earned income - I doubt this too, but it happened to me my first month or two in Colombia. In the end, it amounted to very little money, and the institute paid for my visa so I didn't put up much of a fuss about it.
Back to top
View user's profile Send private message
windowlicker



Joined: 05 Jun 2008
Posts: 183
Location: Bogotá, Colombia

PostPosted: Tue May 29, 2012 12:59 pm    Post subject: Reply with quote

But to clarify, I suppose one important point to make is that you should be paying very little - if any - "tax."

8% of your salary should be deducted for healthcare (rules may actually have changed...this may now be 4% for healthcare and 4% for pension...not sure, but in any case it still works out to 8%).

There may be another small deduction that works out to about 1% - I don't know exactly what this is for. I've worked in three places in Colombia, and it has been deducted for two of my employers, though called slightly different things on the pay stub. My first employer told me this was a local tax for Bogotá, which would make sense - the two employers that have taken it out were Bogotá employers, while the third was on the coast.
Back to top
View user's profile Send private message
Display posts from previous:   
Post new topic   Reply to topic    Job Discussion Forums Forum Index -> Colombia All times are GMT
Page 1 of 1

 
Jump to:  
You cannot post new topics in this forum
You cannot reply to topics in this forum
You cannot edit your posts in this forum
You cannot delete your posts in this forum
You cannot vote in polls in this forum


This page is maintained by the one and only Dave Sperling.
Contact Dave's ESL Cafe
Copyright © 2011 Dave Sperling. All Rights Reserved.

Powered by phpBB © 2001, 2002 phpBB Group

Road2Spain - TEFL and Spanish with one year student visa
EBC