The annual bill containing tax changes has been submitted to Congress. As usual, the changes affect, among others, the tax code, income tax and VAT. The main changes are summarized below.
Tax code
Tax inspections and the procedure for disputes would be simplified. Inspections and audits would be limited to 6 months (currently 9 months). As a rule, accounting records will have to be kept for 5 years (currently 10 years).
The changes also affect certain provisions relating to fines:
- fines which are a fixed percentage or an amount with a minimum and maximum and which involve taxpayers whose gross revenue in the preceding year did not exceed MXN 1 million will be automatically reduced by 50%;
