Mexican Tax Research Articles

Benefits and risks of using Artificial Intelligence in the Mexican Tax Administration Service (SAT). An analysis from the perspective of academic researchers

En el Plan Maestro 2024 el Servicio de Administración Tributaria de México (SAT) anunció formalmente que la Inteligencia Artificial (IA) será utilizada para clasificar a los contribuyentes de acuerdo con su riesgo fiscal, identificar redes complejas de elusión y evasión, y detectar inconsistencias asociadas con el contrabando y empresas fachada. El objetivo de este trabajo es identificar, analizar y comparar la percepción de investigadores académicos sobre los posibles beneficios y los potenciales riesgos del uso de la IA en el SAT. Para ello, se elaboró un cuestionario que fue respondido por 65 investigadores adscritos a grupos o institutos de investigación especializados en IA o administración tributaria de distintas universidades mexicanas. De acuerdo con dichos investigadores los posibles beneficios del uso de la IA en el SAT son: optimización del tiempo y recursos; mayor eficiencia y eficacia en los procesos; reducción del fraude y la evasión fiscal; mayor precisión en los cálculos; reducción de los costos operativos; aumento en la recaudación tributaria; y mejoramiento del servicio a los contribuyentes. Por otro lado, los potenciales riesgos del uso de la IA en el SAT son: utilización de algoritmos con sesgos socioeconómicos, de raza, nacionalidad y género que se traducen en procesos de discriminación, exclusión e injusticias; desaparición de puestos de trabajo; procesos que se convierten en una “caja negra”; hacer difusa la responsabilidad de los servidores públicos; problemas de transparencia; generación de desempleo, y uso no autorizado de los datos de los contribuyentes.

Review of the legal tax framework for digital platforms in Mexico

In recent years, Mexico has made significant advances in its legislation related to digital platforms, especially regarding their tax obligations. In this regard, this text seeks to delve into the Mexican tax system in order to understand its direct relationship with e-commerce, as it not only currently represents 5% of GDP but also experienced an almost doubling in just one year. It will explore how various laws regulate the actions of different digital platforms and how they seek to prevent international companies from making profits without paying taxes. Specifically, the 2021 tax reform and its relationship, application, and implications with digital platforms will be analyzed in detail. The analysis is based on the premise that said reform is a success of the Legislative Power. However, the need to adapt laws as Mexican society continues to adopt technology and carry out transactions in the digital market is also discussed.

The Reduction of Capital: A Legal Figure That Creates Legal Uncertainty for Third Parties in the Mexican Tax Legislation

The Reduction of Capital: A Legal Figure That Creates Legal Uncertainty for Third Parties in the Mexican Tax Legislation

When Harmful Tax Expenditure Prevails over Environmental Tax: An Assessment on the 2014 Mexican Fiscal Reform

This article examines the role of environmental taxation in mitigating environmental problems and contributing to sustainability in Mexico. It focuses on environmental tax revenues and tax expenditures since the 2014 Public Financial Reform (PFR), according to pro- or anti-environmental orientation. The research carried out combines the study of the regulation of the selected tax instruments, their classification and the empirical analysis of the tax revenues and tax expenditures associated with the different taxes over the periods of validity of the taxes and benefits studied, using the databases of the CIAT and the Mexican SHCP. A critical analysis addresses the weak environmental function of environment-related taxes (IEPS, ISAN…), as well as the late implementation and reduced impact of the carbon and pesticide taxes introduced in 2014. The evolution of tax incentives and expenditure is thoroughly examined by examining both environmental measures, which have evolved positively but within a very reduced level, and the most prevalent tax expenditure measures, with harmful impacts to the environment. Based on the results obtained, long-term structural changes in the Mexican tax system are suggested. As for the short to medium term, profound changes in tax expenditure are proposed to eliminate of those tax benefits harmful to the environment, introduce of tax benefits for circular activities (e.g., repairing, reusing and remanufacturing) and broaden the carbon tax base and rates. The conclusions include recommendations for moving towards a systemic green tax reform that assists the transformation towards a sustainable economy.

Desigualdad y sacrificio equitativo en la tributación por deciles de hogares en México

Tax functions are calculated with equitable sacrifice for aggregate federal taxes and for income tax to the added value and special on production and services separately using micro data from the National Survey of Household Income and Expenditure for 2018. Although there are differences in magnitude between the inequality aversion coefficient for IT, VAT and STPS taxes in Mexico; the Mexican tax system does not currently follow the principle of equitable sacrifice. The results demonstrate that the coefficient of aversion to inequality is very high in Mexico, and this should be interpreted as the desire of society towards fairer taxation.

The business reason in the 2020 tax reform

When a person decides to start a business, whatever legal figure he or she uses; invariably the goal will always be profit. In this regard, the debate is that the social function should actually be the end and generation of profits, the consequence; in any case, companies are expected to have an infrastructure, capital, employees, processes, a stay and location in the market, etc. If a business is created with an apparent or simulated turn, disguising tax evasion ins and outs, it must necessarily face administrative and criminal consequences. However, as has been ventilated on other occasions, tax planning does not involve any crime; premise that is more important than ever in this tax reform of 2020, in which a prosecution against tax advisers has been legalized, equating their professional work with organized crime, creating audit procedures that govern the free exercise of the profession, like says Article 5. Constitutional. The international trend, namely the BEPS Project, has been to monitor and punish simulation; however, the incorporation of these measures into the Mexican tax system appears to be exceeded and inappropriate.

Esquemas tributarios de las entidades No lucrativas en México

Las entidades no lucrativas juegan un papel importante desde la iniciativa social, ya que realizan un amplio rango de actividades: desde lo asistencial hasta lo filantrópico, sin ánimo de especulación comercial. El objetivo de esta investigación fue mostrar cómo tributan estas entidades, así como su evolución en el sistema tributario mexicano, utilizando el análisis documental histórico y el método interpretativo exegético a partir de la legislación mexicana en el siglo XX. El principal hallazgo es el reconocimiento de las organizaciones a las que se les ha ido concediendo la exención tributaria en las leyes mexicanas de renta, así como los esquemas tributarios que le son aplicables a las entidades no lucrativas en la legislación vigente.

Participaciones como ingresos ordinarios para la protección civil del Estado de Veracruz

Las Participaciones del Sistema Tributario Mexicano, revisten trascendencia para el Estado Veracruzano en su ordenamiento tributario, como ingresos públicos que solventan sus arcas fiscales. Su regulación en la Ley de Protección Civil, coadyuva a la ejecución de su nuevo objeto que tutela la vida, salud, patrimonio y medio ambiente. Analizamos como problemática, sus alcances en las finanzas públicas veracruzanas; ante su dependencia económica con la hacienda nacional, para cumplimiento de esa custodia. Se emplea la deducción como método estructural, en símil los instrumentales; descriptivo, analítico, exegético y pragmático, de cara a la significación de las participaciones en el ejercicio de la salvaguarda social. Los resultados derivados en investigación de campo y marco tributario; confirman las hipótesis formuladas, indicativas de la asimetría tributaria estatal, frente a la distribución de competencias tributarias de origen y delegadas.

The caloric and sugar content of beverages purchased at different store-types changed after the sugary drinks taxation in Mexico

BackgroundFollowing the 2014 sugary drinks tax implementation in Mexico, promising reduction in the volume of purchases of taxed beverages were observed overall and at different store-types. However, the tax’s effects on purchasing patterns of calories and sugar remain unclear.MethodsUsing longitudinal data from Mexican households (n = 7038), we examined changes in volume, calories and total sugar of packaged beverages purchased from 2012 to 2016 overall and by store-type. We used fixed effects models to estimate means for volume, calories, and sugar of households. To address the potential selectivity from households shopping at different stores, we calculated inverse probability weights to model the purchases changes over time by store-type.ResultsFor taxed beverages, the volume of purchases declined by − 49 ml and -30 ml in the first year and second year post tax (2014 and 2015, respectively), while purchases leveled off in the third year of the tax (2016). Calories and sugar from taxed beverage purchases decreased over time, with the majority of the declines occurring in the first two years post-tax implementation. The volume of untaxed beverage purchases increased, whereas changes in calories and total sugar of untaxed beverages were minimal. Store level purchases of taxed beverages significantly decreased in the first two years post taxation (2014 and to 2015) only in supermarkets and traditional stores. The steepest declines in purchases of taxed beverages in 2014 were observed at supermarkets (− 40 ml or − 45%). The volume of purchases of untaxed beverages increased over time in almost all store-types, while calories and sugar minimally decreased over time.ConclusionAlthough the Mexican tax on SSBs has lowered the purchases of sugary drinks 3 years after the tax implementation, the tax should be strengthened and store-specific interventions should be implemented to further reduce SSBs purchases in the Mexican population.

"Homo Caloricus": The epistemological construction of lipophobic stigma in public health media discourses

The case of obesity in Mexico constitutes an emblematic example of how, in the messages emitted by public health television campaigns, strong beliefs regarding the issue of body weight prevail. The main objective is to reflect on certain epistemological effects that abound in biomedical media narratives related to obesity. To do so, aspects of the rhetoric employed in two initiatives of the Ministry of Public Health - Muévete y Métete en Cintura [Move Around and Slim Down] in 2008 and the 5 Steps Program in 2011 - are analyzed, as is the discourse surrounding the tax measure introduced by the Mexican tax service in 2017. This study also looks at other similar practices that, although taking place outside of Mexico, stoke the fires of lipophobism, such as the "Cormillot industry" in Argentina. As a result, a strong discursive influx stemming from a reductionist vision of bodily diversity has been identified, supported by the pathologization of fat bodies through moral prejudices and biased generalizations.

Does the Mexican sugar-sweetened beverage tax have a signaling effect? ENSANUT 2016.

ObjectiveTo evaluate the potential signaling effect of the Mexican tax on sugar-sweetened beverages (SSBs) by analyzing the association between awareness of and opinions about its effectiveness with current consumption of taxed SSBs and with a self-reported change in consumption of SSBs since the implementation of the tax. We also examined the association between psychosocial and environmental determinants of SSB consumption with current consumption of taxed SSBs and with a reported change in consumption of SSBs.MethodsCross-sectional analyses of survey and food-frequency questionnaire data from the Mexican National Health and Nutrition Survey 2016. Participants were Mexican adults (20–59 years, N = 6,650). Logistic regression was used to evaluate the probability of a person reporting a decrease in SSB consumption, given their awareness of the tax, opinion about its effectiveness, psychosocial (SSB health-related beliefs, self-efficacy, and liking of SSBs) and environmental (availability of potable water) determinants. Multiple linear regression analysis was utilized to examine the association between the aforementioned factors and current consumption of taxed SSBs.ResultsCompared with adults not aware, adults who were aware of the SSB tax were more likely (OR = 1.30) to report a decrease in SSB consumption (p = .012). In urban areas, adults aware of the tax drank a significantly lower amount of taxed SSBs (-15.7%; p = .023) than those not aware. Self-efficacy and liking of SSBs were significantly associated with a reported decrease in consumption and with current consumption (p < .001), while health beliefs and availability of potable water were not significantly associated with either reported change in SSB consumption or current consumption of taxed SSBs.ConclusionsImplementation of an SSB tax accompanied by highly visible campaigns may further influence the impact of taxes on SSBs consumption. Future public health and nutrition education campaigns designed to increase knowledge and enhance motivation should be complemented by programs to assist individuals develop self-efficacy and self-regulation skills.

The Role of Prodecon, the Mexican Tax Ombudsman Agency, in Ensuring Taxpayer Access to Mutual Agreement Procedures

In this article, the authors examine the recent action of the Mexican Tax Ombudsman Agency, or Prodecon, with regard to ensuring that taxpayers have access to mutual agreement procedures in relation to tax treaties and the protection of the rights of taxpayers in general.

La importancia de la contabilidad electrónica en el currículum

&lt;p&gt;El presente artículo habla sobre la contabilidad electrónica en el sistema tributario de México. Esto es importante para los contribuyentes a partir de 2014, porque obliga a las personas físicas y morales del país a llevar el registro de la contabilidad en medios electrónicos y su envío periódico a través del buzón tributario del Servicio de Administración Tributaria (SAT). El objetivo de este artículo es argumentar la necesidad de incluir la contabilidad electrónica en el currículum de la Licenciatura en Contaduría Pública, al considerar que los perfiles de egreso de la mayoría de las universidades, aún siguen el desarrollo de las competencias tecnológicas que exigen hoy en día las obligaciones tributarias.&lt;/p&gt;&lt;p&gt;Realidad y Reflexión Año 17, No 45, Enero-Junio 2017: 8-16&lt;/p&gt;

A Mexican Perspective on Value Creation under the OECD’s BEPS Approach to Transfer Pricing

The author reviews the economic principles governing dynamics of the current business environment, suggesting a more objective approach to be followed by the Mexican tax authorities for the purpose of transfer pricing audits in order to better evaluate how value is created by multinational enterprises.

Testing for Pro-Poorness of Growth Through the Tax System: The Mexican Case

This research provides a detailed examination of the redistributive effect achieved by the tax system including total taxes and cash transfers targeting the contributors and households in the period 2002-2008-2014 for the Mexican regions and the country. We measure the impact on income growth through the tax system according to each fiscal rules for the corresponding years using pre and post fiscal conditions. We answer the next question: considering the economic growth on per capita incomes in the Mexican States, will the impact of the Mexican tax system improve income distribution? That is, by all means pro-poor?. Our methodology allows to detect if taxes and benefits can really induce an improvement of income growth on the regions captured by its wellbeing and economic growth conditions. We outlined relevant theoretical issues on public fiscal policies concerning this work and lastly, we proceed with an empirical application.

Testing for Pro-Poorness of Growth through the Tax System: The Mexican Case

This research provides a detailed examination of the redistributive effect achieved by the tax system including total taxes and cash transfers targeting the contributors and households in the period 2002-2008-2014 for the Mexican regions and the country. We measure the impact on income growth through the tax system according to each fiscal rules for the corresponding years using pre and post fiscal conditions. We answer the next question: considering the economic growth on per capita incomes in the Mexican states, will the impact of the Mexican tax system improve income distribution? That is, by all means pro-poor? Our methodology allows to detect if taxes and benefits can really induce an improvement of income growth on the regions captured by its wellbeing and economic growth conditions. We outlined relevant theoretical issues on public fiscal policies concerning this work and lastly, we proceed with an empirical application to develop some recommendations for the Mexican fiscal policy system.

A tale of two taxes: The diverging fates of the federal property and income tax decrees in post-revolutionary Mexico

The Mexican tax system in the 1800s was almost entirely composed of indirect taxes. However, the Revolution opened a window for change. In the early 1920s, President Alvaro Obregón created two direct taxes by decree: the federal property tax and the income tax. It was a clear disruption of the status quo, naturally raising opposition from those affected by the new taxes. Yet the attempt to establish the federal property tax failed, while the income tax was a relative success. This paper explains the divergent fates of these two tax decrees. In order to explain the divergent outcomes I focus on the political struggles behind both decrees. I argue that the roles played by both the opposition groups and the government in the two struggles differed greatly and help explain the fates of these taxes. The political and ideological background behind both tax struggles also help to explain the failure of the federal property tax and the implementation of the income tax.

La reforma tributaria de 2013: los problemas de la Hacienda pública y la desigualdad en México

This article analyzes the Executive’s tax bill, the Legislature’s approved tax bill and the Executive’s decrees made after the legislative process. The tax reform scope, in terms of tax level and tax system progressiveness is discussed in historical perspective. Similarly, some of the Mexican tax system’s problems are addressed. It is suggested that a far-reaching reform should increase tax collection by progressive taxes; should reduce the tax loopholes that characterized the tax system; and should make the Ministry of Finance a more transparent institution.

Dictamen de estados financieros para efectos fiscales: naturaleza jurídica, evolución e incongruencias

The opinion of financial statements for tax purposes becomes mandatory for certain taxpayers in Mexico since the early nineties; from 2014 is set as an option, recognizing that involves a cost to the governed subjects. This paper analyzes the figure of the opinion for tax purposes as part of the power of inspection, in addition to the legal and pragmatic change scope of compulsory optional nature; certain circumstances under which it was created the Tax Administration are opposed to indirect control mechanism constitutes the opinion for tax purposes is also addressed; in addition, the incidence of this opinion on the figure of the independent accountant is studied within the business this regulatory environment, whereas information technology equip the major elements of control for the authority. All this calls into question the practical viability of the tax opinion in Mexican tax framework, which is no stranger to international organizations provide recommendations based on successful experiences tax.

Incidencia del Sistema Fiscal en México 2002–2012

This research aims to evaluate and generate indices of progressivity for the Mexican tax system using a static framework in 6 years. The action of the tax system is able to finance public spending in addition to the ability for redistribution of income. The three main taxes (isr, iva and ieps) and a pool of social transfers are used, in the sense to produce an analysis of incidence as a tool for the assessment of fiscal policy and its implications. The National Household Income and Expenditure Survey conducted by inegi is used for the years 2002, 2004, 2006, 2008, 2010 and 2012. We construct the tax figures for analysis of progressivity based on nonparametric techniques as the main sources of information. Results indicate that Mexican fiscal system was slightly progressive, also helped by the transfers made by the State. Income tax —isr- contributes more to the progressivity and vertical equity in the fiscal system, meanwhile revenues are low and vat induce certain degree of regressivity in the system during the period and affecting the contributors. It concludes with some ideas for policy and recommendations.