Extension of tax benefits for 2025
December 24, 2024
On December 24, 2024, a decree was published in the Federal Official Gazette extending the effectiveness of multiple tax benefits previously established for the fiscal year 2024, this extension would imply their application for 2025.
Labor reform for workers providing services to digital platforms
December 24, 2024
The Decree amending and supplementing various provisions of the Federal Labor Law regarding digital platforms was published in the Federal Official Gazette. This decree grants social rights to individuals providing services through digital platforms.
Arbitration as an alternative to the judicial reform
September 30, 2024
Following the publication of the decree reforming, adding, and repealing various provisions of the Political Constitution of the United Mexican States regarding the reform of the Judiciary, published in the Official Gazette of the Federation on September 15, 2024, uncertainty has arisen concerning the functioning of this body in resolving disputes. This has resulted in a lack of trust among individuals and legal entities in the judicial system, leading to the search for viable alternatives for dispute resolution, making arbitration an attractive option.
Reform that extinguishes the INAI
November 28, 2024.
The Senate of the Republic approved on November 28, 2024 the reform of “organic simplification”, the content of this reform proposes the extinction of multiple autonomous agencies within which the National Institute of Transparency, Access to Information and Protection of Personal Data (INAI) is included. This reform was also approved by 17 state congresses, which is why it has already reached the qualified majority
Analysis of the Reforms to Mexico’s Federal Public Administration Organic Law: Implications and Perspectives.
November 28, 2024
A decree introducing reforms, additions, and repeals to the Federal Public Administration Organic Law was published in the Official Gazette of the Federation. This marks a significant transformation in the structure and functioning of the Mexican federal government. This analysis highlights the key aspects of these changes and their potential implications.
Revisting maquiladora operating models: Strategic alternatives.
Revisting maquiladora operating models: Strategic alternatives.
Background.
The maquiladora regime has been a central component of Mexico’s manufacturing growth since the 1990s, driving foreign direct investment, particularly in sectors such as automotive, electronics, and medical devices. This regime allows multinational corporations to establish manufacturing operations in Mexico under the IMMEX program, which grants fiscal and tariff exemptions when importing machinery, equipment, and raw materials to produce goods for export.
Second resolution of amendments to the miscellaneous fiscal resolution for 2024
Second anticipated version of the second resolution of amendments to the miscellaneous fiscal resolution for 2024. The Tax Administration Service (SAT) recently published on its website (the Portal) the second anticipated version of the Second Resolution of Amendments to the Miscellaneous Fiscal Resolution for 2024 and its annexes 1 and 1-A (the “2VA-RMF”). The 2VA-RMF […]
Renewal of the Qualified Maquiladora Approach Agreement
September 19, 2024
Renewal of the Qualified
The IRS and Mexico’s Servicio de Administración Tributaria (SAT) have agreed to again renew the Qualified Maquiladora Approach Agreement (QMA), a coordination arrangement previously renewed between the U.S. and Mexican competent authorities in 2020 (2020 Renewal QMA). The 2024 renewal applies for the Mexican taxable years ending December 31, 2020, through December 31, 2024. The QMA allows a U.S. taxpayer to avoid double taxation on the contract manufacturing and assembly functions performed by its maquiladora if the Mexican taxpayer enters into a unilateral advance pricing agreement (APA) with the Large Taxpayer Division (Administración General de Grandes Contribuyentes) of the SAT under terms negotiated in advance between the competent authorities.
Reform to the Federal Judicial Banch
September 19, 2024
Reform to the Federal Judicial Branch
The constitutional reform initiative that modifies the Federal Judicial Branch has already been approved by both chambers of Congress and is now being reviewed by the missing state legislatures. This reform involves significant changes that will take effect in September 2025, which presents challenges for judicial procedures initiated before that date.
Resolutions for companies providing maquila services from 2020 through 2024
On July 22, 2024, the Tax Administration Service (hereinafter “SAT”) updated its website regarding the “Resolutions for Companies Providing Maquila Services” (hereinafter the “Website”), pursuant to the renewal of the Qualified Maquiladora Approach agreement (“QMA”) by the SAT and the Internal Revenue Service of the United States of America (hereinafter “IRS”).
