Colombian Authority DIAN Initiates Actions Against Crypto Tax Evaders

As the crypto adoption rates skyrocket around the world in one way or another, the conversation about regulation and safe use seems to be becoming a reality now.

Colombia is in that boat as well since regulators in the country are now tightening their grip

Colombia After Crypto Fraudsters

In a press release a few days ago Colombian authorities declared their plans on making sure that the use of cryptocurrencies in the country isn’t creating a negative implication on the citizens by taking action against those who have been evading paying taxes on their crypto transactions.

The Directorate of National Taxes and Customs – DIAN explicitly stated that they have initiated actions tending to control the taxpayers who have been carrying out operations within themselves.

DIAN’s actions aim on establishing tax control for the citizens who either completely omitted or inaccurately recorded their income from crypto operations when submitting the details for the Income and Complimentary Tax.

In line with the same, the press release further stated:

“In this regard, the DIAN has issued official related to fiscal management and correct declaration of crypto assets. The work carried out by the DIAN regarding these operations makes part of the mechanisms for the fight against tax evasion and other legal mechanisms to fight and control against money laundering and financing of terrorism.”

DIAN stated that the exchange of information plays a crucial role in the area of crypto and cryptocurrencies to maintain fair use of crypto amongst taxpayers.

In relevance to the same, the press release quoted the Agreement with the Organization for Economic Co-operation and Development (OECD) by saying they are responsible for:

“Mutual information assistance on tax issues signed between Colombia and Finland.

In the aforementioned agreement, both authorities cooperate in order to ensure compliance with tax obligations in operations with cryptocurrencies made in the country, which facilitate progress and innovation in tax control actions that adjust to the new dynamics in which taxpayers operate and, in achieving a more honest Colombia.”

Colombian Regulations

The country currently has 3.1 million crypto owners which represent about 6.14% of the entire population. Thus as a result at the moment there is no ban on the use of crypto in the country.

Similarly, many other countries are also looking into creating a more controllable method of regulating crypto with India recently joining the band after it declared a 30% tax on cryptocurrency income yesterday.