VAT Calculator for Colombia
In Colombia, IVA (Impuesto sobre las Ventas, also called value-added tax) is the levy added to the price of most goods and services, itemised on the electronic invoice the DIAN requires. This tool works both ways: starting from a price without tax it adds the 19% rate to show the final price the customer pays, or starting from a price with IVA included it breaks the figure down to reveal the taxable base and how much of the amount is tax. You can keep the general 19% rate or switch to the reduced 5% that applies to goods such as coffee, chocolate or prepaid medicine. Type an amount in pesos, pick a direction, and you will instantly see the tax, the price with IVA and the price without IVA.
The result is shown with the local currency symbol. Colombia's general rate is 19% and the reduced one is 5%; exempt and excluded goods carry no IVA. Note: restaurants and bars do not charge IVA but the impoconsumo (8%), a separate tax that does not belong in this calculator.
Publicidad
How it works
Picture a store in Bogota selling a blender. The shopkeeper sets a taxable base (base gravable) of 200,000 pesos; on that base the 19% IVA works out to 38,000 pesos, so the final price on the tag and on the electronic invoice is 238,000 pesos. That is what "Add VAT" does: it takes your figure as the base and adds the rate. "Remove VAT" runs the reverse trip, handy when you already have the shelf price and need to know how much is the sale and how much is tax: from those 238,000 pesos with IVA included, the calculator recovers a base of 200,000 and an IVA of 38,000. The point is that the rate is charged on the taxable base and not on the total, so breaking a price down is not the same as knocking 19% off it: you have to split the total between the base and its tax in the right proportion (dividing by 1.19).
Colombia's VAT rates in 2026
Colombian IVA is governed by the Tax Statute (Estatuto Tributario) and runs on few rates but many classifications. The rule is simple: if a good or service is not expressly listed under 5%, exempt or excluded, it is taxed at the general rate. These are the rates in force in 2026:
| Rate | Percentage | Applies to |
|---|---|---|
| General | 19% | Most goods and services: appliances, clothing, technology, spirits, professional services and anything not on a special list |
| Reduced | 5% | Roasted ground coffee, table chocolate, cured meats and cold cuts, edible oils, prepaid medicine and complementary health plans, and electric and hybrid vehicles |
| Exempt | 0% | Unprocessed meat and fish, eggs, milk, fresh cheese, rice, medicines, books and exports — taxed at zero but with the right to a refund of the IVA paid on inputs |
| Excluded | No IVA | Fresh fruit and vegetables, health and education services, public passenger transport, home rentals and financial services — the tax simply does not arise |
Exempt, excluded and impoconsumo: what trips everyone up
The difference between exempt and excluded looks like a technicality, but it changes a business's accounting entirely. An exempt good is taxed, only at 0%: because it stays inside the IVA system, whoever produces or sells it can claim back the tax paid on inputs. An excluded good sits outside the tax altogether: no IVA is charged on the sale, but the IVA on purchases cannot be recovered either and ends up as a higher cost, which is why a producer is far better off with an exempt product than an excluded one. On top of that comes a common mix-up in restaurants and bars: the line on the bill is not IVA but the national consumption tax (impoconsumo), an 8% rate that replaces IVA on prepared food and drink service. The impoconsumo is single-stage — charged once, to the final consumer — and gives no right to deduct, so you should not feed it into this IVA calculator even though it appears on your lunch receipt.
Publicidad
Preguntas frecuentes
- What is the difference between an exempt and an excluded good?
- An exempt good is taxed with IVA, but at a 0% rate. Because it stays inside the system, the producer can ask the DIAN to refund the IVA paid on inputs. An excluded good does not trigger IVA at any stage; the seller does not charge it, but cannot recover the IVA on purchases either, so it becomes a cost. In practice, being exempt is more favourable for the producer.
- Why does the restaurant charge me impoconsumo and not IVA?
- Because the restaurant, cafe and bar service is not taxed with IVA but with the national consumption tax, known as impoconsumo, at a rate of 8%. It is a different tax: it is charged once, to the final consumer, and the establishment cannot deduct it. Only some cases, such as franchise restaurants, charge IVA instead of impoconsumo.
- Which products carry the 5% rate?
- The reduced 5% rate is reserved for a specific list in the Tax Statute. The most common goods include roasted ground coffee, table chocolate, cured meats and cold cuts, edible oils and some electric and hybrid vehicles; among services, prepaid medicine and complementary health plans. If you sell one of these, type 5 in the rate field.
- Does the basic food basket pay IVA in Colombia?
- It depends on the product. A large part of the basic basket carries no IVA, but through two different routes: foods such as unprocessed meat, eggs, milk or rice are exempt (0% rate), while fresh fruit and vegetables are excluded. In both cases you pay no IVA when buying them. Processed foods, however, can be taxed at 5% or 19%.
- Do the prices I see in shops already include IVA?
- Yes. In Colombia, consumer prices must be displayed with IVA already included, so the tag figure is what you pay at the till. Between businesses it is different: quotes usually show the taxable base and the IVA separately, which is why shopkeepers and accountants constantly need to move from a tax-inclusive price to the base and back.