Mexico: APA negotiation process; compliance with information requests
Mexico: APA negotiation process
The tax administration has initiated a process of sending information requests to maquiladora companies that are involved in negotiating and obtaining an advance pricing agreement (APA).
The information requested by the tax administration (Servicio de Administración Tributaria—SAT) concerns tax years until 2019. Taxpayers can submit their responses to the information request either via a tax mailbox or through an appointed representative (as notified with the SAT in Mexico City).
Once the information request is received, taxpayers have 10 business days to comply.
To avoid the risk of delay or other negative consequences concerning their APA applications, taxpayers need to determine that there is full and correct compliance with the information request. Specifically, taxpayers need to be aware of the 10-day period allowed to comply with the information request and also of the requirement to use the tax mailbox or to coordinate communications between the tax administration and the taxpayer’s representative.
Read a March 2021 report (Spanish) prepared by the KPMG member firm in Mexico
The KPMG name and logo are trademarks used under license by the independent member firms of the KPMG global organization. KPMG International Limited is a private English company limited by guarantee and does not provide services to clients. No member firm has any authority to obligate or bind KPMG International or any other member firm vis-à-vis third parties, nor does KPMG International have any such authority to obligate or bind any member firm. The information contained herein is of a general nature and is not intended to address the circumstances of any particular individual or entity. Although we endeavor to provide accurate and timely information, there can be no guarantee that such information is accurate as of the date it is received or that it will continue to be accurate in the future. No one should act on such information without appropriate professional advice after a thorough examination of the particular situation. For more information, contact KPMG's Federal Tax Legislative and Regulatory Services Group at: + 1 202 533 4366, 1801 K Street NW, Washington, DC 20006.