|
Business Directory Search
|
Mexican Tax Law: Value Added Tax
|
|
|
 |  |  |
|
 A company doing business in Mexico will be obligated to pay Value Added Tax (VAT) when it carries out any of the following activities:
alienates or leases goods; renders independent services; or imports goods and/or services.
This tax shall be calculated by applying the general rate of 15% to the price of the goods or services. If residents in defined border areas of Mexico (North America and Central America) perform the foregoing activities, the applicable rate will be 10%. The VAT is charged to the taxpayer who acquires the goods or receives the services from the company. Therefore, the VAT must be stated separately on the invoice of the goods or services. Basically, the company shall pay to the tax authorities the difference between the VAT it has transferred to its clients or paid on the importation of goods and services from the VAT the company had paid to third parties during the course of business. However, if the Mexican company with an Export Incentive Program authorized by the Ministry of Economy, definitively exports such goods or services from Mexico, and such goods or services are utilized entirely outside of Mexico, the VAT shall be 0%. Return to top |
|
Other Articles |
| |
Mexican Tax Law: Tax on Assets
Learn the Mexican law on taxes. Corporations are taxed differently than in other countries. Find out about corporate income tax and taxes on corporate assets.
| | Mexican Tax Law: Luxury Tax and STPS
As from January 2002, the Mexican Congress established that the end customerhas to pay a 5% tax on certain goods and services. Find out which products are subject to these special and luxury taxes.
| | Mexican Tax Law: Payroll Taxes
What payroll taxes are paid by businesses in Mexico? Use this guide to answer your corporate tax questions.
| Mexican Tax Law: Taxation of Foreigners
As a foreigner living in Mexico, do you know which taxes you will have to pay? Refer to SolutionsAbroad.com's tax guide to have your questions answered.
| | Mexican Tax Law: Third Party Taxes, Part III
If you want information about taxation and taxes in Mexico, this page is for you. This is your guide to third party taxes and tax withholdings in Mexico.
| | Mexican Tax Law: Third Party Taxes, Part II
Refer to this page for Mexican law on royalties and interest. Important terms and Mexican law are explained in relation to the U.S.-Mexican Tax Treaty.
|
|
|
|
|
|
Service Request
|
