Colombian Tax Watchdog Strengthens VASP Reporting Requirements

Colombia’s National Directorate of Taxes and Customs (DIAN) has implemented mandatory reporting requirements for virtual asset service providers (VASPs) operating in the country. The new rules aim to increase transparency in the crypto sector and reduce opportunities for tax evasion. Resolution 000240, issued on Dec. 24, 2025, mandates that VASPs report detailed user and transaction data to tax authorities.

The initiative aligns with the Organisation for Economic Co-operation and Development’s (OECD) Crypto-Asset Reporting Framework (CARF). This framework promotes data exchange among countries to close reporting gaps in digital asset activity. Colombia’s move positions it in line with global efforts to standardize crypto tax reporting.

VASPs, including crypto exchanges and intermediaries, must collect and submit information about their users starting with the 2026 tax year. The first comprehensive report is due by the last business day of May 2027.

Why Did Colombia Introduce These Rules?

Colombia has recognized the need to regulate the fast-growing crypto market. The country recorded $44.2 billion in crypto transactions between July 2024 and June 2025, ranking it as the fifth-largest Latin American market by volume. DIAN previously required individual users to disclose crypto holdings in tax returns but lacked mechanisms for third-party verification.

The new rules enable cross-checking of user declarations and integration of crypto assets into the tax system.

The move also reflects broader global trends toward tighter oversight of digital assets. The OECD’s CARF framework, adopted by multiple jurisdictions, aims to close reporting gaps and reduce tax avoidance through international cooperation.

How Do the Reporting Obligations Work?

Under Resolution 000240, VASPs must submit detailed information for “reportable” users. The data includes account ownership, transaction volume, units transferred, market value, and net balances. These obligations apply to both domestic and foreign providers serving Colombian residents or taxpayers. The reporting requirements are designed to identify high-value transactions, with a particular focus on transactions exceeding $50,000.

The resolution became effective in late 2025, but reporting cycles began with the 2026 tax year. VASPs have until May 2027 to submit the first full annual report covering all 2026 transactions.

What Are the Consequences for Non-Compliance?

Failure to comply with the new reporting obligations may result in penalties. DIAN can impose fines of up to 1% of the value of unreported transactions. This penalty structure incentivizes VASPs to maintain accurate and timely reporting.

Colombian users are also advised to keep records of their crypto transactions, including purchase and sale details, to prepare for potential audits or cross-referencing by tax authorities. Legal experts have noted that non-compliance or submission of incomplete or inaccurate data could lead to sanctions outlined in the Tax Statute.

What Broader Trends Does This Reflect?

Colombia’s action is part of a global shift toward stricter crypto tax reporting. Countries such as France and the United States are also implementing measures to close reporting gaps. France, for example, has extended oversight to self-custody wallets with balances exceeding €5,000.

Meanwhile, the OECD continues to promote the CARF framework, with 48 jurisdictions already enforcing or nearing enforcement of CARF-related rules. This global alignment increases the likelihood that users will face consistent reporting obligations across multiple jurisdictions.

For investors and service providers, these developments underscore the importance of adapting to evolving regulatory landscapes. Compliance with reporting requirements will likely become a standard part of operating in the digital asset space.