Mexico is a country that is opening up to international investment to generate adequate movement of capital, generating an increase in new jobs and resources to support further growth of the domestic economy.
The foreigners investors need a permit named FM2 from the Ministry of Foreign Affairs (Secretaría de Relaciones Públicas, SRE)
The FM2 migratory form is applicable for the quality of immigrant, in its 9 modalities: artist and sportsman, assimilated, trust, scientist, family, investor, professional, financier and engineer.
Generally in the companies where part of the capital is foreign, should submit a report to the Ministry of Economy with an accounting service.
1. The Secretariat of Finance and Public Credit (Secretaría de Hacienda y Crédito Público, SHCP) is responsible for the tax collection for the federal government, of all the taxes paid in Mexico
2.To start a business can be taxed as a corporation or as an individual with help of accounting service.
A legal entity is what constitutes a society, usually with a minimum contribution of 50,000 Mexican pesos and is necessary to make a document named “Acta constitutiva” that is logged notarized and recorded.
The individual can register the business with its name. He only should take his personal documents and go to the Finance Ministry.
1. “Acta constitutiva”
In Mexico, a moral person is a group of people who works together with an objective in common e.g., a mercantile society or a civil association.
For moral people should go all shareholders with a record and choose a legal representative, who will be in charge of the business and will answer for all acts carried out in the company is named.
2. Electronic signature
The electronic signature that is recorded is processed, a file with algorithm and from being unfalsifiable replaces signature handwriting, but has validity.
Once all these steps are met, the Secretariat of Finance issued an RFC and a tax id.
The feature are the initials of the company, foundation date and some numbers that directly assigns the secretariat. It contains the billing information address of the business.
4. Electronic invoice
Electronic Invoice used to describe the cost of your service and taxes break down.
This replace what this was previously done on paper, the difference is that it is more difficult to falsify an electronic invoice
5. Tax return
Accounting is electronic, the Ministry of Finance asks you to all the accounts are held in the most common accounting system is CONTPAQ, and you will generate the XML files and electronic invoices to be sent monthly.
6. Business taxes in Mexico
A person who wants to start a business in Mexico must pay the following taxes:
Income Tax (ISR) that is 30% for corporations and 35% for individuals.
Value Added Tax (VAT) of 16%.
Tax work products (ISPT) you have no fixed rate depending on what wins the worker can range from 1 to 35%
(IMSS) Social Security according to the employee’s salary
Infonavit according to salary.
Risk premium according to risk for the worker.
If you need legal, financial, or accounting counselling contact a partner who is going to help you in every aspect you need to know before investing in the Bajío.