Mexico: State of Mexico 2022 tax legislation

Tax incentives established in the decree will come into force as of 1 February 2022

Tax incentives established in the decree will come into force as of 1 February 2022

The decree issuing the legislation, including the tax laws, applicable to the State of Mexico for the year 2022 was published on 31 January 2022 in the official gazette of the State of Mexico.

The State of Mexico is one of 32 Mexican states.

Notable provisions include:

  • Tax credits
    • Surcharge rate is 1.85% and 1.3% when extensions are granted
    • Update factor is 0.42% for each month elapsed
    • Cancellation of tax credits caused prior to 1 January 2018 when the historical amount as of 31 December 2017 is greater than MXN 3,000 (but not in the case of credits derived from property tax and drinking water rights, as well as those derived from non-fiscal administrative fines and compensatory administrative responsibility)
  • Property tax
    • Bonus of 8%, 6%, and 4% when the payment is made in a single installment in the months of January, February, and March respectively
    • Incentive of an additional 8% in January, 6% in February, and 2% in March for taxpayers who, in the last two years, have covered their tax obligations in a timely manner
    • Stimulus of 100% of the tax and accessories, in favor of taxpayers who regularize their fiscal situation
    • 100% benefit for the owners or holders of properties destined for agricultural, aquacultural and forestry activities that regularize their debts in the fiscal year
    • Bonuses of up to 10% for taxpayers who prove the comprehensive management of urban solid waste or the practice of actions aimed at environmental sustainability
    • Compensation of up to 50% may be made when the acquisition, installation and operation of photovoltaic energy is carried out to generate and use clean energy
  • Tax on the acquisition of real estate and other transfer operations of ownership of real estate
    • Incentive of 100% in the contribution, surcharges and fines in favor of taxpayers who regularize the payment of their debts in the year 2022

The payment of the contributions contained in the tax law of the State of Mexico and its municipalities comes into force as of 1 April 2022, and the tax incentives established in this decree will come into force as of 1 February 2022.

Read a February 2022 report (Spanish) prepared by the KPMG member firm in Mexico

 

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