MEXICO: An Introduction

Overview - Tax Arena

President Andrés Manuel López Obrador (AMLO) was elected in the midst of particularly challenging circumstances in the country, specifically from a political, economic and social perspective. Mexico has historically experienced significant levels of inequality, which have been exacerbated by several factors over the past few decades, such as unsuccessful strategies to address regimes implemented by past administrations. This has eventually resulted in heightened social unrest.

In order to address this, a popular view among specialists for a considerable time now, including international organisations such as the International Monetary Fund, has emphasised the necessity of enacting a thorough tax overhaul to incentivise economic growth through investment enhancement, extend the number of active taxpayers through combating the informal economy and promote wealth distribution in an effort to reduce economic inequality.