The government of President Gustavo Petro submitted a new tax reform bill to Congress aimed at collecting 21.9 trillion pesos in 2027.
The Finance Ministry submitted the bill on July 22 to the General Secretariat of the House of Representatives. The project consists of five titles and 31 articles that modify the Tax Statute.
Minister Germán Ávila Plazas stated that the reform is progressive and does not affect the basic basket or low-income people. He explained that the effort falls on large assets and high incomes to address the fiscal deficit.
Measures include reducing a parafiscal exemption worth 8.5 trillion, raising VAT on fossil fuels and hybrid vehicles, and a 1% tax on oil and coal exports. Other provisions tax alcoholic beverages, tobacco and games of chance.
The statement of reasons indicates that the initiative strengthens collection without affecting productive activity and protects public investment in sectors such as infrastructure and health.
