Colombia Scraps Tax Proposal That Sought to Lure Bondholders

Colombia’s tax bill no longer includes a proposal to abolish a levy paid by foreigners on bond profits, as the government looks for consensus to get the reform passed in congress, according to Finance Minister Jose Manuel Restrepo.

The South American nation will keep the current 5% withholding tax for overseas investors in local bonds per the request of lawmakers, Restrepo said in an audio message in response to questions sent by Bloomberg News. Several lawmakers proposed the elimination of the article, and the government considers getting rid of the proposal “prudent”, he said.

The move does away with ...