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Income statement: the problems you would have if you do not declare all your heritage

Income statement: the problems you would have if you do not declare all your heritage

The income statement is a tax obligation that transparently reflects the income and assets of each taxpayer. When The totality of the goods and assets is not reported, a foul is incurred that can generate legal, economic and even criminal consequencessince the omission weakens the trust in the fiscal system and exposes the declarant to severe sanctions by the tax authority.

Not declaring the total value of assets in the income statement is considered by Colombian law a serious offense that can lead to consequences at various levels. From the legal point of view, the taxpayer is exposed to sanctions established by the Directorate of National Taxes and Customs (DIAN), which They seek to punish the omission of information and guarantee fiscal transparency. These sanctions apply to both natural and legal persons, regardless of the amount of incomeprovided that concealment or inaccuracy is demonstrated in the data presented.

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In the economic field, the first direct consequence is the imposition of high fines. The regulations contemplate that the sanction for inaccuracy can reach up to 200% of the highest value of the tax in chargecalculated on the undeclared heritage. This means that an intentional error or deliberate omission not only generates the obligation to pay what was really due, but also a much greater economic punishment that compromises the taxpayer’s financial stability.

Another frequent consequence is the application of the sanction by omission of assets or inclusion of non -existent liabilities (for a value equal to or greater than 1,000 SMLV, that is, 1,423.5 billion pesos)will incur. Prison of 48 to 108 months. This means that the fault can go from being an administrative issue to becoming a criminal case, with much more serious repercussions for those who incur this behavior.

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If the fiscal value of the omitted assets, or the lowest value of the declared assets or of the non -existent liability, is greater than 2,500 SMLV, but less than 5,000 SMLV, the penalties could increase a third. In such cases, when it is greater than 5,000 SMLV, the penalties will increase in the middle.

Income statement

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Articles 647 and 648 of the Tax Statute regulate the sanction for inaccuracy in the income statement. In essence, they establish that when a taxpayer omits income, he declares non -existent costs or deductions, Hidden assets or includes false liabilities, the DIAN can impose an equivalent sanction up to 200% of the highest value of the tax in charge or of the lower balance in favor. These provisions seek to guarantee the veracity in the reported information and punish any attempt to alter the declared assets in order to reduce or avoid the real payment of taxes.

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To these consequences are added the moratorium interest generated by the tax debt. Every day late payment increases the value to duty, which turns omission into a difficult financial snowball. In practice, This implies that the longer the irregularity spends, the greater the economic burden that the taxpayer must assumeeven affecting its ability to comply with other financial obligations.

Valentina Delgadillo Abello
Portfolio journalist

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