Colon was fighting complications from a pulmonary infection.
Colon, 80, had been active as late as 2015, where she made a cameo appearance on Better Call Saul, an AMC-TV series.
Colon was born in Ponce, Puerto Rico, and participated in theater during her school years. She was allowed to audit classes at the University of Puerto Rico's drama department before she graduated from high school.
Colon moved to New York City in the 1950s to study at the Actors Studio. She later moved to Los Angeles, where she earned small roles in several television shows and films.
She appeared in One-Eyed Jacks with Marlon Brando, and in The Outsider with Tony Curtis.
In 1967, Colon founded the Puerto Rican Travelling Theatre in New York. Using the theater, she helped cultivate young Latino actors and writers. She also staged work that would be used in Latino Studies classes all over the Americas.
In her long-spanning career, Colon appeared in over in more than 90 films. She also appeared in more than 250 television episodes on programs such as Bronco, Bonanza and Law and Order.
Colon is however widely known for her role in the 1983 movie Scarface. In the flick, she played as the Cuban-American mother of Tony Montana, played by Al Pacino. Colon's voice in the film would later appear in underground hip hop songs as her character berated Pacino for his involvement in the drug trade.
Colon won unwavering acclaim for her role as the New Mexico Hispanic healer Ultima the movie Bless Me, Ultima. The movie was on the novel by Rudolfo Anaya.
In the Movie, Colon's character mentored a young boy and taught him traditional methods of healing.
"That was her most beautiful role in my opinion," Colon's husband, Valle, said.
In 2015, US President Barack Obama presented the National Medal of Art to Colon for her work as an actress and theater founder.