Derived from the earthquake that occurred on September 19, 2017, which affected several counties of the states of Guerrero, Mexico, Morelos, Oaxaca, Puebla, Tlaxcala, as well as at Mexico City, the Federal Government, through the Secretaría de Hacienda y Crédito Público, informed, through a publication dated October 2, 2017, on the Federal Official Gazette, of the Decree whereby several tax benefits were granted to taxpayers from the affected areas.
The purpose of aforesaid Decree is to support the reactivation of said areas, granting several tax benefits to those whose address, agency, branch office or any other establishment is located on said zones.
Next, we present some of the benefits: (View PDF)
Tax addresses and branches
Taxpayers’ whose tax address is located outside affected zones, but with a branch office, agency or any other establishment within these, or whose tax address is located at aforesaid zones but with branches, agencies or any other establishment outside these, shall enjoy these benefits only on income, assets, withholdings, value of acts or activities and expenses, corresponding to the branch, agency or any other establishment attributable to the tax address, located at affected areas.
In connection with Value Added Tax (VAT), the creditable tax on acts or activities on which the benefit established on this Decree is applicable, shall not be taken into consideration for the monthly payment.
Enforceability of Decree Benefits
Taxpayers under the assumptions to apply the benefits granted under this Decree, shall do so for all interim or monthly payments mentioned therein, outstanding as of the date they become applicable, for the period from September through December 2017.
Tax Interest Warranty.
Taxpayers making payments in installments pursuant to this decree are not under the obligation to warrant the tax interest.
Taxpayers located at areas affected by the earthquake are those located at the counties listed on the corresponding Natural Disaster Declaration, published on the following dates.
Guerrero - September 28, 2017.
Mexico - September 29, 2017.
Morelos - September 28, 2017.
Oaxaca - September 28, 2017.
Puebla - September 28, 2017.
Tlaxcala - September 28, 2017.
The provisions of this Decree shall not apply to the Federation, the states of Guerrero, Mexico, Morelos, Oaxaca, Puebla and Tlaxcala, their municipalities or their independent organisms.
This Decree produces effect as of October 3, 2017.
The Tax Administration Service may issue the necessary general provisions for the correct application thereof.
Please contact us if you have any question or comment in this regard.