Mexico has submitted its 2027 Economic Package to Congress, proposing corporate tax changes, revised deduction and loss carryforward rules, a temporary capital repatriation programme, higher RESICO thresholds and a 0% VAT rate for books, newspapers and magazines.
Mexico’s Federal Executive submitted the Economic Package for 2027 to Congress on 8 September 2026, including proposed amendments to the Income Tax Law (ITL), Federal Revenue Law (LIF), Customs Law and Federal Duties Law (LFD), alongside other relief measures and legislation on digital payments.
The accompanying CGPE 2027 (Criterios Generales de Política Económica) set out the government’s macroeconomic and fiscal framework for the third year of the administration.
The package projected tax revenue of MXN 6,263.9 billion in 2027, equivalent to 15.9% of GDP, without proposing higher general tax rates or new taxes. The government planned to increase revenue through administrative measures, the closure of tax loopholes and changes to the Income Tax (ISR) Law.
The key proposed measures included:
- Limiting allowable corporate deductions to 96.67% of accumulative income, or 99% for companies below specified utility thresholds.
- Capping the use of tax loss carryforwards at 50% of fiscal profit while extending the carryforward period from 10 to 20 years.
- Reducing the maximum deduction for net interest expenses from 30% to 20% of adjusted fiscal profit.
- Eliminating the optional corporate group regime (ROGS).
- Introducing a temporary capital repatriation programme subject to a 7.5% ISR rate where funds were invested in domestic productive assets.
- Raising the RESICO income thresholds to MXN 50 million for corporations and MXN 5 million for individuals.
- Applying a 0% VAT rate to sales of books, newspapers and magazines.
