By Martin Gustavo Ibarra FreeTrade Zones in Colombia FRENCH AREA COLOMBIAN TERRITORY RENT RATE 20 33 Term Initial term 30 years until 2058 No CAUSE OF VAT and tariff on machinery and equipment ID: 929296
Download Presentation The PPT/PDF document "FREE-TRADE ZONES IN COLOMBIA" is the property of its rightful owner. Permission is granted to download and print the materials on this web site for personal, non-commercial use only, and to display it on your personal computer provided you do not modify the materials and that you retain all copyright notices contained in the materials. By downloading content from our website, you accept the terms of this agreement.
Slide1
FREE-TRADE ZONES IN COLOMBIA
By: Martin Gustavo Ibarra
Slide2Free-Trade Zones in Colombia
FRENCH AREA
COLOMBIAN TERRITORY
RENT RATE
20%
33%
Term
Initial term + 30 years
(until 2058)
No
CAUSE OF
VAT and
tariff on machinery and equipment
19%
VAT building materials
VAT and tariff for inventories within the free zone
Slide3Types of free-trade zones
Strategic companies with large investments
Industrial parks with different companies (min 5)
-Possibility of clustering
Hydrocarbon projects at sea
Uni-enterprise
Employer
Offshore
Slide4Distribution OF
FREE-TRADE ZONES
BY REGION
User companies:
940
Slide5FTZ: employment and investment generators
Total employment:
171.359
Investment 2018:
Commitments
USD $5,140 BN Investment $14,876 BN
289% EXECUTION
64%
of the investments located in FTZ would not have been implemented were it not for the incentives
Source: Hernando José Gómez (2019)
Example: FTZ Bogota produces 500 jobs/haUser companies: 940
Slide6Types of Free-Trade Zones
Slide7FTZ users by sector
39%
Slide8Example:
Municipal tax revenue per capita 2017
without free zone vs. with free zone
8
Ranked by per capita income among the 42 municipalities of the Department of
Value: USD
2
5
6
8
Cauca3DEPARTMENT - CAUCAMunicipalities with FTZ
1
Municipalities without FTZ
Slide9International fiscal leveling
Country
(Free Zones)
CORPORATION TAX
VAT
AND TARIFFChile (2)FTZ 0%Extraterritoriality
Colombia (112)
FTZ 20%
Extraterritoriality
States
United (450)21%ExtraterritorialityMexico FTZ 20%8% VAT – tariff is caused
Central America (252)FTZ
0%Extraterritoriality
Slide10Thank you!