Insights

Mexico Introduces Tax Incentives for Investment, Training, and Innovation

Editorial Team 31 Jan 2025

An overview by Mijares, Angoitia, Cortés y Fuentes, Taxand Mexico

The Mexican government has recently published a decree to promote investment, training, and innovation through tax incentives.

Key provisions include:

• Immediate Deduction for Fixed Assets: Investments in new assets can be immediately deducted, with rates ranging from 35% to 91%, applicable from January 22, 2025, to September 30, 2030.
• Additional Deduction for Training and Innovation: Businesses can deduct 25% of increased training or innovation expenses from 2025 to 2030.
• Requirements: Taxpayers must register with the Federal Taxpayer Registry, submit necessary documentation, and meet specific compliance criteria.

A total of 30,000 million pesos (USD 1,450 million) is allocated for these incentives, with specific funds for smaller businesses. Non-compliance results in the revocation of incentives.

Tax experts from our Mexican member firm Mijares, Angoitia, Cortés y Fuentes have analysed the key provisions of this decree and incentives, along with its implications read it in full here.

Article tags

Mexico | Tax | Tax Policy