Cross-border inheritances: legal challenges in the Colombian tax treaty network - An analysis of asymmetrical tax coverage, OECD principles, and the limits of Colombia’s DTCs on Income and Capital
(2025) HARN60 20251Department of Business Law
- Abstract
- This thesis analyzes the legal challenges of inheritances within Colombia’s tax treaty network, specifically addressing the asymmetrical tax coverage that arises when Colombia applies Double Taxation Conventions on Income and Capital to cross-border inheritances. The core research question is whether inheritance taxes can be covered by the OECD Model Tax Convention on Income and Capital, as interpreted by Colombia's National Taxes Directorate.
Through a doctrinal legal research methodology focused on international tax law treaties and official documents, this investigation finds that inheritance taxation falls outside the material scope of Colombia’s DTCs that are based on the OECD Model Tax Convention on Income and on Capital. The... (More) - This thesis analyzes the legal challenges of inheritances within Colombia’s tax treaty network, specifically addressing the asymmetrical tax coverage that arises when Colombia applies Double Taxation Conventions on Income and Capital to cross-border inheritances. The core research question is whether inheritance taxes can be covered by the OECD Model Tax Convention on Income and Capital, as interpreted by Colombia's National Taxes Directorate.
Through a doctrinal legal research methodology focused on international tax law treaties and official documents, this investigation finds that inheritance taxation falls outside the material scope of Colombia’s DTCs that are based on the OECD Model Tax Convention on Income and on Capital. The National Taxes Directorate’s current opinion, which relies on the domestic approach of "income", is inconsistent with international treaty interpretation principles. Consequently, Colombian DTCs on Income and Capital do not cover inheritance taxation.
The thesis concludes by recommending the National Taxes Directorate to reconsider its interpretive stance, that future Colombian DTCs explicitly exclude inheritance taxation from their material scope, and that Colombia considers signing and ratifying DTCs specifically for inheritances and estates. (Less)
Please use this url to cite or link to this publication:
http://lup.lub.lu.se/student-papers/record/9193669
- author
- Fonseca Forero, Ivan Guillermo LU
- supervisor
- organization
- course
- HARN60 20251
- year
- 2025
- type
- H1 - Master's Degree (One Year)
- subject
- keywords
- Colombia, inheritances, capital gains, income, cross-border, taxes covered, material scope, OECD Model Tax Convention.
- language
- English
- id
- 9193669
- date added to LUP
- 2025-06-05 14:17:47
- date last changed
- 2025-06-05 14:17:47
@misc{9193669, abstract = {{This thesis analyzes the legal challenges of inheritances within Colombia’s tax treaty network, specifically addressing the asymmetrical tax coverage that arises when Colombia applies Double Taxation Conventions on Income and Capital to cross-border inheritances. The core research question is whether inheritance taxes can be covered by the OECD Model Tax Convention on Income and Capital, as interpreted by Colombia's National Taxes Directorate. Through a doctrinal legal research methodology focused on international tax law treaties and official documents, this investigation finds that inheritance taxation falls outside the material scope of Colombia’s DTCs that are based on the OECD Model Tax Convention on Income and on Capital. The National Taxes Directorate’s current opinion, which relies on the domestic approach of "income", is inconsistent with international treaty interpretation principles. Consequently, Colombian DTCs on Income and Capital do not cover inheritance taxation. The thesis concludes by recommending the National Taxes Directorate to reconsider its interpretive stance, that future Colombian DTCs explicitly exclude inheritance taxation from their material scope, and that Colombia considers signing and ratifying DTCs specifically for inheritances and estates.}}, author = {{Fonseca Forero, Ivan Guillermo}}, language = {{eng}}, note = {{Student Paper}}, title = {{Cross-border inheritances: legal challenges in the Colombian tax treaty network - An analysis of asymmetrical tax coverage, OECD principles, and the limits of Colombia’s DTCs on Income and Capital}}, year = {{2025}}, }