BACKROUND
On August 1, 2021, the Mexican tax authorities released a Press Release, regarding a second publication of new effective income tax rates for large taxpayers corresponding to 84 economic activities, according to the business sector to which they belong, based on the analyzed information of the economic activities corresponding to the fiscal years of 2016, 2017, 2018 and 2019.
The 84 economic activities are part of the following 12 economic sectors:
- Construction or Building;
- Temporary accommodation and food and drink preparation services;
- Manufacturing industries;
- Business support services and waste management and remediation services;
- Mining;
- Transport;
- Post and storage;
- Wholesale trade and retail trade;
- Real estate and rental services;
- Financial and insurance services;
- Services professionals, scientists and technicals;
- Electricity, water and gas supply through pipelines to the final consumer.
- The aforementioned sectors of this second publication include the hydrocarbon, oil, petrochemical, hotel and tourism industries, among others.
In this context, the Mexican tax authorities reiterates the perception of risk in taxpayers who carry out the referred activities, and invites taxpayers who belong to the economic sector of the published activities, to consult and compare the effective income tax rate against their own effective income tax rate, with respect to each fiscal year, to measure your tax risks and, where appropriate, correct your tax situation by submitting a supplementary statement, in order to minimize the possibility of initiating in-depth reviews aimed at verifying the correct compliance with your Fiscal obligations.
It should be noted that for these purposes, the tax authority considers as a determination of the effective income tax rate, the one that is calculated with the information shown in the last annual income tax return for the fiscal year in question, and that is obtained by dividing the amount of income tax caused in the fiscal year, among the cumulative income of said fiscal year.
Likewise, the Mexican tax ahtuorities defines as tax risk, the contingency of non-compliance with the tax provisions that are applicable to a taxpayer or a group of taxpayers and that affects the correct payment of contributions, specifically in terms of income tax, by virtue of not finding within the parameters established by the Mexican tax authorities, which could lead to a possible audit by the tax authority.
In this context, it is very important to carry out preventive diagnoses in tax matters, as well as to evaluate the reason for the alleged differences between the Mexican tax authotiries and the taxpayer; and therefore, obtain the necessary advice to correct their tax situation, or adequately support compliance with tax obligations in the event of an eventual audit or review, in addition to presenting the corresponding means of defense if necessary.
