On October 7^th, the Tax Administration Service, [in Spanish: SAT], issued an official release that announces amendments to the regulations which strengthen the fight against what it considers abusive practices.

Through an official release, the tax authorities announced a list of actions that as of October 2024,  will put into motion a series of amendments to the regulations as shown below:

With regard to Foreign Trade:

• Oversight is strengthened so that courier companies may identify who imports goods from Asia without paying the corresponding taxes. They must also verify that the goods declared are the same as those sent.

• New requirements have been implemented. Companies that perform temporary import transactions must register as a certified company or approve VAT guarantees, as well as the (Per its acronym in Spanish “IEPS”); for the purpose of ensuring that the goods are returned abroad.

• It specifies that agents and customs agencies can be fined for committing an offence related to importing and exporting, since they participate in customs clearance. 

• It clarifies the improper practice of transporting into the country compound mixtures that are primarily of sugar with activated charcoal, with substance analogues or the like, and once in the country, the latter component is separated or eliminated; in order to avoid paying the corresponding taxes.

Regarding internal taxes it clarifies that:

• Online stores that operate as intermediaries must also register in the Federal Taxpayer Registry, (Per its acronym in Spanish “RFC”), and withhold taxes that correspond to transactions in which they participated as intermediaries. 

• For income tax purposes, expenses for the hiring of services will only be deductible when it is proved that the service was rendered.

• Taxpayers who acquire goods in Mexico that are foreign owned must withhold VAT. 

It is worth mentioning that in this official release, the tax authorities are also announcing that as of October 2024, new audit and review programs will be put into motion, in order to ensure compliance with all of these measures, which are focused on detecting and penalizing practices related to smuggling and tax avoidance or evasion.

If you have any questions, J.A. DEL RÍO can provide you with our experts to advise you in matters concerning compliance with your legal and tax obligations. Once again, please let us know if we may be of any further assistance to you at: contacto@jadelrio.com