Tax System is Outdated 20 Years (El Sol de Tijuana, 11/6/12 by Yazmin Zaragoza)

Mexico City -Mexico has a tax system tax system that is outdated 20 years, so it is imperative a reform not rely on assessments of Petroleos Mexicanos and thereby reduce taxes to work and for investments, while increasing taxes on consumption, such as the value added (VAT) by more than 16 percent.

This was stated by José Angel Gurría, Secretary General of the Organization for Cooperation and Economic Development (OECD), during his presentation at the G-20 "Trade & Investment Promotion Summit 2012", also noting, and “It is time for change and to implement tax reform because we no longer have room for action. We have lost time and opportunities."

"Increase VAT”, he said, "Let's close holes that do not allow an appropriate uptake of resources". These shortcomings are "exceptions, zero rates, different tax payments on consumption at the borders and other loopholes where they are not paying". http://www.oem.com.mx/laprensa/notas/n2760740.htm

Mexicans May Enter Country with $300 US Tax-Free (El Sol de Tijuana, 11/6/12 by Juan Guizar)

Tijuana, BC - Passengers of Mexican nationality may enter the county from foreign countries by sea, land or air and import goods up for $300 US or its equivalent in national currency, with the exception of residents of the border region,

The system of tax administration unveiled the new provision on franchises, which specifies these conditions entered into force November 1, 2012, through its internet portal and will be valid until January 6, 2013.

The provision has created some confusion, because there are those who have interpreted that this exemption applies to border residents, however, SAT stipulates: "The passengers from the border region destined to the interior of the country can import, under cover of franchise, merchandise up to $300 US or its equivalent in national currency". It does not apply to border residents who come from abroad.

The franchise is a permission granted by the Mexican Government to a person, whether national or foreign, the rights to not to pay taxes for a certain amount of goods that enter the country, highlights the e-portal.

The franchise also includes one or more articles, except in the case of beer, alcoholic beverages, tobacco or gasoline, except that contained in the gas tank of a vehicle according to the manufacturer's specifications.

In both cases, you must provide an invoice, sales receipt or other document that expresses the commercial value of the goods.

Quantities may be accumulated by the father, mother and children including minors, where the arrival country is simultaneous and by the same means of transport. http://www.oem.com.mx/elsoldetijuana/notas/n2760378.htm

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