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Colombia: Second extension of deadline to apply for tax benefits involving renewable energy projects

December 31, 2025 deadline

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december 2, 2025

The Mining and Energy Planning Unit (Unidad de Planeación Minero-Energética (UPME)) announced a second extension of the deadline—from November 28, 2025, to December 31, 2025—for applications for tax benefits under Law 1715 of 2014.

The available benefits include:

  • Special 50% income tax deduction
  • Accelerated depreciation for income tax purposes
  • Value added tax (VAT) exemption
  • Exemption from import duties

Types of eligible investment projects include:

  • Electricity generation from non-conventional energy sources (NCES)
  • Energy efficiency management actions or measures aligned with the PAI-PROURE 2022-2030
  • Production, storage, and end use of hydrogen (green and blue)

Taxpayers unable to apply during the extended period may still submit applications in 2026 within the established deadlines and dates (Cycle 1: February 15 to May 14; and Cycle 2: August 15 to November 14).

Read a December 2025 report (Spanish) prepared by the KPMG member firm in Colombia

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