Mexico: Tobacco tax rate increase rejected
The health secretary has rejected the tax proposal to increase tax on tobacco and it has been decided that tax will remain same as previous years. In the Special Tax on Production and Services (IEPS) a pack of 20 cigarettes is taxed at 160% of
See MoreWithholding tax rates within DTA between Mexico and UAE
The DTA between Mexico and UAE of 2012 have signed on November 20, 2012. The maximum withholding tax rates are 4.9% on interest paid to banks and 10% on interest paid to rest of the cases. The treaty normally follows OECD model and will apply
See MoreMexico: Presented Further Maquila VAT Refunds
The finance minister of Mexico has introduced a 16% VAT on imports through maquila and it will start from 1 July 2014 and government expected it will providing quick VAT refund on import in the Mexico through a 100% tax credit. The government
See MoreMexico-UAE: Income Tax Treaty ratified by Mexico
Mexico has ratified the income tax treaty between Mexico and the United Arab Emirates on May 26, 2014 which was signed on November 20, 2012 by way of Presidential
See MoreMexico – Details of hydrocarbon tax in energy reform proposals
Mexico has announced proposals that would change the rules in respect of the taxation of amounts relating to hydrocarbon exploration and extraction. The rules would take effect from 1 January 2015. The additional government revenue would be raised
See MoreMexico: President submits secondary legislation to Congress
The Mexican Congress is considering a number of measures that will form the secondary legislation in respect of the energy reform. The new measure will put through the details of implementing the energy reform and permit investment by private
See MoreMexico Provides Oil Tax Reform Framework
A bill recently introduced by the government contains more detail of the new tax regime in respect of oil companies. This aims to encourage further exploration with the aim of increasing oil production in the future. The state oil and gas company
See MoreMexico – VAT certification by maquiladoras
The maquiladora regime provides some favorable tax provisions but caution is needed with administrative procedures in respect of VAT. As a result of changes introduced in the 2014 tax reform maquiladoras must take certain actions to ensure they are
See MoreMexico – Transfer pricing implications of pro-rata expense decision
A recent decision from Mexico’s Supreme Court of Justice declared a provision of the tax law to be unconstitutional. The provision related to pro-rata expenses incurred abroad relating to natural or legal persons that are not Mexican taxpayers.
See MoreMexico: Appeal procedures for certain challenges to tax reform
Mexico’s Supreme Court of Justice (Suprema Corte de Justicia de la Nación) has postponed the hearing of appeals in amparo actions, these being legal actions that challenge the constitutionality of some measures included in the 2014 tax reform.
See MoreTreaty between Argentina and Mexico under negotiations
An initial round of negotiations for a double tax treaty between Argentina and Mexico is to take place from 21 to 25 April
See MoreMexican tax reform of 2014 imposes deadlines for Maquiladora companies
The Mexican tax reform of 2014 has introduced a number of important changes for maquiladora enterprises. The changes apply to companies that are operating under the requirements of the Decree for the Promotion of the Manufacturing, Maquiladora and
See MoreMexico and Panama Sign Free Trade Agreement
Mexico and Panama signed a free trade agreement (FTA) on April 3 2014. The conclusion of this agreement is an important step for Panama on the way to becoming a full member of the Pacific Alliance (PA) regional trade bloc. The FTA is also likely to
See MoreHong Kong DTAs with Qatar, Canada, Kuwait, Jersey, and Mexico
The double taxation agreements (DTAs) that Hong Kong has signed with Qatar, Canada, Kuwait, Jersey, and Mexico are to take effect in Hong Kong from April 1,
See MoreMexico – Government and taxpayers reach agreement on tax certainty
The 2014 tax reform provisions have brought significant changes to the tax system in Mexico. New changes will affect both business and individual taxpayers. In response, taxpayers have filed for injunctive relief against certain measures under the
See MoreMexico: Annual tax return application available for individuals
The Mexican Tax Administration Service (SAT) has informed taxpayers who derived income from salaries in 2013 that they will receive their tax refund within the following 5 days after submitting the tax return. The deadline for submitting the annual
See MoreMexico-Peru DTA
The 2011 double taxation agreement (DTA) concluded by Mexico and Peru entered into force on 19 February 2014 and will apply as from 1 January 2015. When in effect, the treaty will provide for a 10% withholding tax on dividends paid to a company
See MoreMexico promises an unchanged tax regime until 2018
Following the completion of tax reforms, the Mexican Government has now signed a Tax Certainty Agreement under which Mexico's tax system is to remain unchanged throughout the remaining period of the current government. This means that the tax regime
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