Beneficiaries of the Act 1429, 2010

This document is aimed at reminding you that commercial companies established during 2014 that want to obtain for the first time the Progressive Benefit in the payment of income tax granted under Law 1429 of 2010 (the “Progressive Benefit”), and those who were already covered and want to maintain this benefit must submit to the Colombian Tax Administration Agency (DIAN) the following documents before December 31st 2014 and March 31st, 2015, respectively:

1. A certificate of existence and legal representation issued by the Chamber of Commerce.
2. A written certificate issued by the legal representative of the company, attesting as to the following:
   1. The company’s intention to obtain the Progressive Benefit, detailing: (i) the company’s main economic activity, (ii) the address or place where the company is established (iii) the company’s main domicile.
   2. The total amount of assets of the company, which cannot exceed 5.000 Current Legal Minimum Monthly Wage.
   3. The number of employees in the company to December 31st, 2014, which cannot exceed 50 employees, and the type of contract under which such employees are hired.
3. Copy of the public deed or private document evidencing the company’s establishment or incorporation.
   The above certificate must be submitted either personally with DIAN by the company’s legal representative or attorney, or before a Notary Public in order to recognize the document’s content and the individual’s signature.

In addition, in order to obtain the Progressive Benefit the company must have complied with the following legal obligations:

1. Registration and update of the Tax Registry – RUT
2. Submission of the tax returns
3. Payment of its labor obligations
4. Payment its commercial obligations related to the commercial registry

The fulfillment of the aforementioned submission and these requirements, is mandatory in order for the company to obtain the Progressive Benefit, otherwise the company will lose such benefit.
In reference to the benefits obtained regarding the payment of the commercial registry renewal, the fulfillment of the requirements will grant such benefit automatically.