International tax
International tax and double taxation
When your company operates between Mexico and another country, two tax systems look at the same transaction. We help you apply Mexican law and the tax treaties correctly so you don’t pay the same tax twice.
Tell us about your case
A partner will reply, in English or Spanish.
International tax
Who it’s for
- Foreign companies doing business in Mexico
- Mexican subsidiaries that pay or charge their parent or other group companies
- Mexican companies that sell, buy or invest abroad
- Individuals who live or work between Mexico and another country
International tax
What’s included
We combine a working knowledge of the Mexican tax system with how the treaties apply.
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Treaty application
We check whether a double tax treaty applies to your transaction and what it takes to claim its benefits.
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Tax exposure
We flag where an unexpected tax could arise, such as a permanent establishment or withholding on payments abroad.
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Structure for operating in Mexico
We help you choose the way of being taxed in Mexico that best fits your business and your home country’s rules.
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International coordination
As members of Abacus Worldwide, an international alliance of independent firms, we coordinate with firms in other countries when your case needs a local opinion.
International tax
How we work
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Transaction map
We understand what flows in and out of the country, between which entities and for what.
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Analysis
We review Mexican law, the applicable treaty and the position in the other country.
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Clear opinion
We explain which taxes apply and what we recommend, in English or Spanish.
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Follow-up
We support you through implementation and review again when the transaction changes.
Frequently asked questions
What is double taxation?
It is when two countries tax the same income. It happens, for example, when a company in Mexico bills a foreign customer and both countries consider that income theirs to tax. Tax treaties exist to prevent or reduce it.
What is a double tax treaty?
It is an agreement between two countries that sets which of them may tax each type of income, and to what extent. Mexico has treaties in force with many countries. Claiming their benefits comes with requirements, such as proving tax residency in the other country.
What is a permanent establishment?
It is the concept under which a foreign company can owe taxes in Mexico without having incorporated a company here, for example if it has a fixed place of business or people acting on its behalf. It is worth reviewing before you start operating.
Can you work with our headquarters in English?
Yes. Our partners work in English and Spanish, and we can prepare our opinions and reports in English for headquarters management.
Related
Related services
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Transfer pricing
Documentation of related-party transactions: Local File, Master File and Country-by-Country Report.
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Doing business in Mexico
For parent companies setting up in Mexico: structure, taxes and reporting in English.
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Tax advisory
Compliance, tax regime and transaction review, led by a partner.
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Does your company operate across borders?
Tell us about your cross-border transactions. We’ll tell you what to review first.