2nd Modifications to the Miscellaneous Tax Resolution for 2014: Tax Aspects
2nd Modifications to the Miscellaneous Tax Resolution for 2014: Tax Aspects

In July 2014, the 2nd Modifications to the Miscellaneous Tax Resolution for 2014 was published in the Official Gazette, please find below the summary we have prepared regarding the most significant regulations:

Notifications to Taxpayers when the Tax Authorities Suspect Inexistent or Fictitious Operations.

If the Tax Authorities suspect that inexistent or fictitious operations are being carried out they will send an individual written notification to the taxpayers in question, this notification will be done personally via certified mail or data message with an acknowledgement of receipt through the Tax Mailbox (Buzón Tributario).

It is recommended to verify, through the corresponding application in the Tax Authorities’ website, th at invoices received from your suppliers are not issued by legal entities or individuals that may be classified as companies that invoice fictitious operations and are included in the list published by the Tax Authorities.

Proof of Withholding for Payments Made Abroad, Fees Paid to Individuals, Sale of Real Estate and Land by Individuals, etc.

Proof of tax withholdings will be issued through a CFDI per the specifications established by the Tax Authorities and may be issued on a yearly basis in January of the year following that on which the withholding or payment was made.

When a CFDI is issued for an operation that was carried out or for income received and includes all the information regarding the taxes withheld, this receipt may be considered as the corresponding tax receipt for the withholdings.

Tax Mailbox (Buzón Tributario)

The Tax Authorities will send notifications through the Buzón Tributario between 9.30 am and 6 pm (Central Mexico time zone), should a notification be sent within a different time frame to that aforementioned, it will be considered as sent at 9.30 am the following business day.

Regarding responses to requirements, promotions, requests or notifications, these will be based on the time zone corresponding to the taxpayer’s tax address.

Applicable Time Zone for Buzón Tributario Purposes

The Buzón Tributario available to taxpayers will be based on Central Mexico time zone per the United States of Mexico Time System Law and the decree that establishes the seasonal timetable that applies in the United States of Mexico.

Regarding promotions, requests, notifications or fulfilling requirements, even if the corresponding acknowledgement of receipt indicates the time and date corresponding to Central Mexico time, for legal purposes, the time zone of the taxpayer’s tax address will be the one considered.

Suspension of Individuals’ Activities by the Authorities

The Tax Authorities may suspend individuals’ activities if they stop filing their periodic returns and as long as the individuals do NOT have to fulfill any other periodic tax obligation payments.

The corresponding suspension may also apply when, based information provided by other authorities or third parties, it is confirmed that the individual has not carried out economical activities during two or more consecutive years.

Dividends Paid by Foreign Tax Residents to Individual Residents in Mexico

Individuals that receive dividends from abroad are not obliged to pay the additional 10% Tax on Dividends Received as long as the dividends or profits distributed by the foreign tax resident correspond to 2013 or before, the requirement being that the individual in question will have to keep the supporting documentation to prove this.