Third Resolution: Miscellaneous Tax Resolution for 2022 (“MTR”)

April 29, 2022

On April 29, 2022, the MTR was published in the Federal Official Gazette (hereinafter, the “DOF“).

This publication points out the main topics and excludes those industries which do not apply to our clients.

Merger Notice (Process form 86/CFF from Appendix 1-A)

Form 86/CFF of Appendix 1-A, which establishes the requirements that must be complied with to file the Notice of cancellation in the RFC due to merger of companies, is amended.

Taxpayers may request an appointment for the filing of the notice once they have obtained the Acknowledgement of Compliance pursuant to Article 27 of the CFF, in terms of processing form 316/CFF.

It is now a requirement to provide proof of the tax domicile of the merging company, as well as the notarial document evidencing the merger.

Transactions between related parties

Various regulatory criteria are eliminated, the foregoing in harmonization with the amendments made to Article 76 of the Income Tax Law (hereinafter, “ITL“) effective as of January 1, 2022, in connection with the obligation to obtain and keep documentation with respect to transactions entered with both foreign and Mexican related parties.

Several non-binding criteria are modified to refer to the concept of profit margins that was incorporated to Article 76 of the ITL as of 2022 to demonstrate that income and deductions are at market values.

Net Tax Income (Regulatory criterion 36/ISR/N)

Elimination of the criterion establishing that, to calculate the Net Tax Profit for the year, taxpayers should not be subtracted the employees’ participation in the profits of the company from the tax result for the year.

Interest paid to residents abroad (Regulatory criterion 64/ISR/N)

Elimination of the criterion extending the application of the 4.9% income tax withholding rate not only to interest earned from negotiable instruments, but also from certificates, acceptances, loans, or other credits from certain financial institutions (Sociedades Financieras de Objeto Múltiple) that are part of the financial system.


Download Newsletter

Boletines relacionados

Employer’s obligations on election days
What will happen in Mexico next Sunday, July 2? Mexico will hold an historic vote to elect the President of the Republic, in addition to renewing the Congress of the Union, governors, senators, local congresses, local deputies and mayors in different states of the Republic.
New resolution on the legends andimages to be displayed on tobacco product packages
On May 17, 2024, the “Decree by which the series of legends, images, pictograms, health messages, and information that must appear on all tobacco product packages and all external packaging and labeling thereof, to be applied as of September 1, 2024 and until June 30, 2026” (the “Decree”) was published in the Federal Official Gazette.
Mexican supreme court rules on the limit to profit sharing for employees
The Second Chamber of the Supreme Court of Justice of Mexico resolved, under the constitutional shelter appeal 633/2023 (“Amparo Trial” in Spanish), the constitutionality of section VIII of article 127 of the Federal Labor Law and the Guide for complying with profit sharing obligations (the “Guide”), issued by the Ministry of Labor and Social Welfare.
Employer’s obligations on election days
What will happen in Mexico next Sunday, July 2? Mexico will hold an historic vote to elect the President of the Republic, in addition to renewing the Congress of the Union, governors, senators, local congresses, local deputies and mayors in different states of the Republic.
New resolution on the legends andimages to be displayed on tobacco product packages
On May 17, 2024, the “Decree by which the series of legends, images, pictograms, health messages, and information that must appear on all tobacco product packages and all external packaging and labeling thereof, to be applied as of September 1, 2024 and until June 30, 2026” (the “Decree”) was published in the Federal Official Gazette.
Mexican supreme court rules on the limit to profit sharing for employees
The Second Chamber of the Supreme Court of Justice of Mexico resolved, under the constitutional shelter appeal 633/2023 (“Amparo Trial” in Spanish), the constitutionality of section VIII of article 127 of the Federal Labor Law and the Guide for complying with profit sharing obligations (the “Guide”), issued by the Ministry of Labor and Social Welfare.
Banxico reduces the interest rate by 25 points
On March 21, 2024, the Governing Board of the Bank of Mexico decided to lower the target for the daily Interbank Interest Rate (the “Interest Rate”) by 25 points to a level of 11.00%.
Paternity leave draft reform
On December 12, 2023, the House of Representatives of the Mexican Congress approved the Draft Decree amending and adding various provisions of the Federal Labor Law (“LFT” for its acronym in Spanish) and the Federal Law of Workers in the Service of the State, Regulatory of Section B) of Article 123 of the Mexican Constitution (the “Draft”), through which it is intended to increase paternity leave in the event of birth and/or adoption of an infant.
REPSE Renewal
On February 21, 2024, the Ministry of Labor and Social Welfare (“STPS” for its acronym in Spanish) issued an agreement amending the Ministerial Order that sets forth the general provisions for the registration of individuals or legal entities that provide specialized services or execute specialized works referred to in Article 15 of the Federal Labor Law (the “REPSE Order”).