Refund of favorable balances in income tax for individuals is possible, according to an expert

TL;DR

A favorable balance in income tax occurs when more tax is paid than owed, resulting in a credit from the DIAN.
The Tax Statute (Articles 850, 855, 857) regulates the right to request, the timelines for, and the potential rejection of favorable balance refunds.
Individuals can claim refunds, provided their declarations are correctly calculated and supported.
The deadline to request a refund is two years from the declaration's due date or presentation date.
Required documents include a bank certificate and validated withholding tax information; additional documentation may be requested by the DIAN.
Favorable balances can either be requested as a refund or carried over to the next year's tax return.
Refund processing times vary: 15 days for automatic refunds, 20 days with a guarantee, and 50 days for the normal procedure.
Common errors include missing deadlines, discrepancies in withholding tax data, outdated bank certificates, and incorrect calculations of sanctions or carried-over balances.
While not common, requesting a refund can increase the DIAN's scrutiny, potentially leading to a review.
Refunds are recommended when the balance cannot be carried over, when the next year's tax liability is low, or for long-standing carried-over balances.

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