Back to News
27-09-2021

Mexico presents the Economic Package for 2022 with important fiscal news

On September 8, 2021, the Ministry of Finance and Public Credit presented to the Chamber of Deputies the so-called Economic Package for 2022. The plan includes various initiatives that will be submitted for discussion and legislative approval by the Congress of the Union. Among them, the initiative to reform, add and repeal various provisions of the Income Tax Law, the Value Added Tax Law, the Production and Services Tax Law, the Federal Tax Code and the Federal Law stands out. of the Tax on New Automobiles, in order to combat practices that have been classified as fiscally evasive, as well as to increase collection without the creation or increase of taxes.

Among the most outstanding proposals in this area, the following should be highlighted:

Regarding income tax:

  • From now on, the “business reason” will be a fundamental requirement to have access to various tax benefits, such as the sale of shares “at fiscal cost”, the deferral of the payment of income tax derived from restructuring and in the case of mergers and splits. .
  • New requirements are proposed for the legal representation of foreigners, deduction of interest according to the rules of thin capitalization and the deduction of bad credits, as well as new limitations to amortize tax losses in mergers and spin-offs.
  • In the matter of uncollectible accounts, it is proposed that the deductibility of these cannot be carried out until the corresponding legal and judicial procedures have been exhausted and a favorable resolution is obtained.
  • Regarding transfer pricing, the elimination of the application of APAs  for maquiladoras is foreseen  , leaving the “ safe harbor ” as the only instrument applicable in these cases.
  • The inclusion of new simplified regimes called “trust” is also proposed, one for legal entities that obtain annual income of up to 35 million pesos, so that they are taxed according to cash flow, and another for individuals with annual income of up to 3.5 million pesos, which would be taxed according to fixed progressive rates calculated on their income, thereby replacing the RIF.
  • Likewise, it is proposed to consider as accumulative income, the value of the usufruct right that is determined in the appraisal that must be practiced at the time of consolidating the bare ownership and the usufruct of an asset. In these cases, notaries, judges and other notaries must inform the tax authority about the details of the transaction.
  • On the other hand, it is expected to reduce the annual depreciation rate of fixed assets related to construction carried out in mining lots, remaining at 5%.

Regarding Value Added Tax:

  • In the case of taxpayers who carry out activities not covered by the VAT Law, it is proposed that they cannot credit the tax paid to suppliers or on the importation of goods, when they are related to said activities.
  • It is proposed to establish as a requirement for creditable VAT generated in pre-operational periods, inform the tax authorities in the month in which such activities begin.
  • On the other hand, it is proposed to define that the concession of use or temporary enjoyment of a tangible asset is considered carried out in national territory when its use or enjoyment occurs in said territory, regardless of the place of its material delivery or the celebration of the act. legal origin.

Federation fiscal Code:

  • It is proposed to add new cases of alienation to the case of mergers and splits.
  • It is contemplated to reincorporate the obligation to dictate the financial statements to taxpayers with income greater than 1,637’320,540.00 pesos.
  • Migration from tax residence to low-tax jurisdictions is limited.
  • It is proposed to add a new assumption for the suspension of expiration periods for the tax authorities to determine obligations.
  • Likewise, several adjustments and new requirements are proposed for the issuance of CFDIs, presentation of notices of change of partners or shareholders, for the notice of cancellation before the RFC and in relation to the procedure itself to cancel CFDIs.
  • New assumptions of joint liability are added.
  • It is proposed that when a mutual agreement procedure provided for in international treaties is requested, the fiscal interest should be guaranteed.
  • Finally, it also highlights the proposal to establish a new 12-month deadline for the conclusion of conclusive agreements, as well as new controls and sanctions for activities related to the hydrocarbon sector.

It must be remembered that these reforms must be discussed and approved by both the Chamber of Deputies and the Senate so that, once approved, they return to the Federal Executive Power for enactment and publication in the Official Gazette of the Federation.