Selling property in Colombia: withholding, ganancia ocasional and getting the money out

A sale does not end at the notary's office: it ends at the tax return and at the bank. What determines how much you keep, and by what route it leaves the country, was decided not on the day you sold but on the day you bought and registered the investment.

Three pieces, and they should not be run together. The first is retención en la fuente, the withholding applied at the moment of sale, which is an advance payment and not the final tax. The second is ganancia ocasional (Colombia's capital gains tax), declared to DIAN and computed on the difference between the sale price and the property's tax basis; what counts toward that basis —the deed, improvements, costs— is precisely the question you put to a Colombian accountant, with the supporting documents in hand. The third is an exchange-control matter rather than a tax one: if the purchase was registered as foreign investment with the Banco de la República, taking the proceeds out has a defined route; if the money came in outside the formal exchange channel, the sale registers anyway but repatriation becomes a problem discovered at the worst moment. No rates, percentages or deadlines appear here: DIAN publishes them and your accountant applies them.

Cartagena is administered as a district rather than an ordinary municipality, and that determines whom you ask for what: the certificado de tradición y libertad, the registry history and encumbrance certificate, comes from the Oficina de Registro de Instrumentos Públicos, the public deeds registry; parcel identification from the cadastre; land-use certificates and building permits from the District and the curadurías urbanas, the private licensing offices; environmental matters from Cardique; anything touching the sea from DIMAR, the maritime authority; while the deed is executed before a notary and the registration tax is paid to the Gobernación de Bolívar, the department government. These are separate bodies with separate procedures, and a seller who folds them all into one office is simplifying. For a buyer abroad the practical consequence is that the file is assembled remotely and in pieces, with powers of attorney worth preparing before any purchase promise is signed, and that the city holds land realities that share no single procedure: the walled historic center under its protection regime, the built-out peninsula, and the northern shoreline still taking shape. So settle early on which authority answers which question, and request each document from its own source.

What is specific to Cartagena

What to verify, step by step

1. Before selling, gather the purchase deed, proof of improvements and receipts for costs, because the tax basis is proven with documents, not recollection.
2. Confirm your DIAN tax ID is active and shows the right activity and address, since without that the transaction stalls at the notary.
3. Ask a Colombian licensed accountant how retención en la fuente is determined in your specific case and who applies it.
4. Check with the Banco de la República whether the investment was registered when you bought, and obtain proof of that registration before looking for a buyer.
5. Ask the Banco de la República and your commercial bank what documentation the outbound transfer requires and in what order it is submitted.
6. If you will sign from abroad, prepare the power of attorney apostilled or before a consul, and confirm current requirements with the Cancillería.

Mistakes that cost money

• Treating retención en la fuente as the final tax. It is an advance payment, and the return is what settles the account: an accountant tells you how yours lands.
• Never having registered the foreign investment at purchase. This is the costliest mistake, because it surfaces once there is already a buyer and a closing date.
• Selling without documentation of the tax basis. Without papers, the base for computing ganancia ocasional is not the one you assume.

Frequently asked questions

How much is ganancia ocasional?

We publish no rates or percentages. DIAN publishes the rules in force and a Colombian licensed accountant applies them to your case with the documents in view.

Is the withholding they applied what I owe?

It is an advance payment, not the final assessment. The return filed with DIAN is what settles it.

Can I move the sale proceeds to my home country?

There is a defined route when the investment is registered with the Banco de la República. If it is not, ask there what alternative exists before committing to a buyer.

Do I need a Colombian accountant if I do not live in Colombia?

The tax obligation is Colombian and is filed in Colombia. We describe what to ask; the person who answers for the calculation is a licensed professional.

Where to check it

• DIAN — the tax ID, withholding on sale and the capital gains tax
• Banco de la República — registration of foreign investment and the official exchange rate
• Superintendencia de Notariado y Registro — the certificate of title and encumbrances, which is the property's full history
• Cancillería de Colombia — current visa requirements and the apostille of foreign documents
• UIAF — the anti-money-laundering obligations that apply to the real estate sector
• Cartagena de Indias — the rules of the municipality Cartagena belongs to

Official bodies. Specific figures are requested there, not copied from a listing.

Updated 2026-11-05