Mexico’s new value-added income tax on electronic service

Mexico’s new value-added income tax on electronic service

Mexico features formally signed up with the list that is growing of imposing some form of electronic taxation. Mexico’s Congress for the Union passed away a modification to your Value-Added taxation Law that will allow when it comes down to taxation of on-line purchases meant to consumers situated in Mexico, whether or not the seller includes a presence that is physical. The rules that are new just take influence on 1 Summer 2020.

VATL modification summary

Mexico’s Value-Added taxation legislation (VATL) modification calls when it comes to number of value-added taxation (VAT) in a rate that is standard of % on specific electronic providers made by international manufacturers to visitors based in Mexico. No taxable presence in Mexico is needed in order for suppliers to fall under the digital services tax.