Colombia vs Ecuador
Tax Rate Comparison
Enter your income below for a personal tax estimate, then scroll down for full rate breakdowns.
π° Personal Income Tax Calculator
Enter your income to see your estimated annual tax liability in each country β side by side.
π¨π΄ Colombia β Departmental & Municipal Taxes
Colombia's 32 departments and 1,102 municipalities levy Industria y Comercio (ICA) β a gross receipts tax on business activity at 0.2%β1.4% of revenues. Municipalities set property tax (predial) rates within national ranges. The SIMPLE tax regime integrates various taxes for small businesses. BogotΓ‘ and MedellΓn have higher ICA rates than smaller cities. Departments levy taxes on alcohol, tobacco, and vehicle registration.
πͺπ¨ Ecuador β Municipal & Provincial Taxes
Ecuador's 24 provinces and 221 cantons (municipalities) levy the impuesto predial (property tax at 0.025%β0.5%), impuesto de patente (business licence), and municipal assets tax. Guayaquil and Quito have the highest municipal commercial charges. The Internal Revenue Service (SRI) administers national taxes. Ecuador uses the US dollar as official currency since 2000, providing monetary stability. Tax reform has been ongoing under successive administrations facing fiscal pressures from oil price volatility.
Colombia vs Ecuador: Key Tax Differences (2026)
π° Income Tax: π¨π΄ Colombia has a higher top income tax rate (0β39% vs 0β37%). πͺπ¨ Ecuador is more favourable for high earners.
π VAT/Sales Tax: Colombia has a higher consumption tax (0β19% vs 15%).
π’ Corporate Tax: πͺπ¨ Ecuador offers a lower corporate rate (25% vs 35%), which can influence business location decisions.
π Capital Gains: πͺπ¨ Ecuador taxes investment gains at a lower rate (10% vs 15%), benefiting investors.