Last year, energy reform was a major talking point for tax practitioners. President Enrique Peña Nieto decided to open the country's oil and gas markets to foreign investors after 75 years of monopoly, hoping to build the Mexican energy industry and boost economic growth and investment into the country. This year, the reform was back in the headlines when the president announced a liberalisation of the gas market. The government's vision is that from January 2017, Mexico can import gas from anywhere in the world. Since the opening of the market, there have been several new rules and regulations regarding energy, something that has caused clients a lot of confusion, practitioners say.
Following this, the Mexican tax authorities have been extra active in their auditing, particularly in areas such as the mining industry. Alejandro Barrera, partner at Basham, Ringe y Correa, said that the authorities were expecting a growth in the oil industry after the reform, and therefore set up an office for oil. "The oil sector didn't grow, so all these people are now looking into similar businesses such as mining, which is a big industry," said Barrera.
One of the reasons for opening the oil and gas market to the rest of the world is the potential of an increase in foreign investment into Mexico, but practitioners say that the country has not seen many large investments being made yet. Ricardo González Orta, partner at Deloitte, said that many investors were on hold. "We have a lot of major players who are interested and have entered the initial process, but the most important ones will come in the future," he said.
"Our corporate income tax rate is high compared to those countries we want to compete with. So I think the government has a challenge in adjusting the corporate income tax rate to a more competitive one to attract more investment," he added.
VAT has been an area of controversy lately, and it is also an area where practitioners expect to see changes in the coming years. Although the law has not changed, the government's interpretation of the definitions within the law has changed, and this has impacted the market in several ways, explained Barrera. "This is a big discussion, because it brings a lot of problems for companies that have been working in certain ways for 30 years, and then they change the rules without really changing the law, only the interpretation," he said.
Rodrigo Covarrubias, partner at SKATT, agreed that multinational companies have been experiencing a lot of problems because of this. "The tax authorities have come to the conclusion that the VAT shouldn't be creditable and therefore shouldn't be refunded," he said.
The tax authorities have also improved their systems lately, with a major step being electronic filing. However, this has become a headache for many taxpayers after the government introduced a requirement for every corporation to file monthly tax reports. Not only is this time-consuming and costly, but it is in some ways also unnecessary, practitioners say.
"The tax authorities are not specialised and they are not experts in all industries. You have to explain to them how it works in a special sector so they can understand," said Barrera. "Taxpayers are not against providing the information, but instead of filing monthly reports, which represents an important administrative burden, the authorities can come over and ask questions or open an audit. This issue has gone all the way to the Supreme Court and unfortunately, in general terms, it ruled against the taxpayers' interest."
Basham, Ringe y Correa
Paseo de los Tamarindos No. 400-A, 9th Floor
Col. Bosques de las Lomas
Tel: (52 55) 5261 0400
Fax: (52 55) 5261 0496
Basham, Ringe y Correa is a full service law firm with strong presence in Latin America. Basham established in Mexico in 1912, has more than 100 years of experience assisting clients in doing business throughout Mexico and abroad. Basham's preventive and strategic knowledge in all areas of the law allows the firm to offer effective, complete and timely solutions.
Aware of our clients' concerns regarding the frequent amendments to tax provisions, Basham offers a wide range of tax planning services to maximize the efficiency of their transactions.
Accordingly, we relentlessly strive to find synergies between our clients' business plans or models and the tax provisions. We know every clients expects objective advice, sound strategies and commitment from their advisors. For this reason, we offer comprehensive and innovative tax solutions.
Vasco de Quiroga 2121, 4th floor
Col. Peña Blanca, Santa Fe
Mexico City, D.F. 01210
Tel: +52 (55) 52 57 7000
Fax: +52 (55) 52 57 7001
Av. Batallón de San Patricio 109, 8th floor,
Suite 801 Valle Oriente, San Pedro Garza
García, N.L. 66269, Mexico.
Tel: +52 (81) 84 78 9200
Fax: +52 (81) 84 78 9208
Av. Manuel Gómez Morín 3970
Suites 704 and 705, Centro Sur
Querétaro, Qro. 76090, Mexico.
Tel: +52 (442) 229-1797
375 Park Avenue Suite 1508
New York, NY 10152
Tel: +1 (212) 223 4434
Fax +1 (212) 223 4465
SOCIAL MEDIA SITES
The Firm has also published an app, wich is available for free from the Chevez website and social media pages.
José Luis Fernández
Founded in 1981, Chevez Ruiz Zamarripa is Mexico's leading tax firm. Highly regarded by the private and public sector and in academic and professional spheres. CRZ maintains offices in Mexico City, Monterrey, Queretaro and New York.
MAIN AREAS OF PRACTICE
Social security and local contributions
Foreign trade and customs
Who we are
Creel, García-Cuéllar, Aiza y Enríquez is a full service corporate law firm founded in 1936, with a particular expertise in sophisticated cross-border transactions across several industry sectors, mainly in Banking & Finance, Capital Markets, M&A, Real Estate and Tax.
Our Tax Group comprises more than 20 fee earners, including three partners with significant experience as Tax Advisor, In-House Tax Counsel and High-Ranking Government Official.
Our Tax Practice focuses on transactions, including Capital Markets & Structured Financial Products, M&A, Private Equity, Energy & Infrastructure, FATCA & CRS, and Tax Controversy and Litigation.
Our Tax Partners
Paseo de los Tamarindos 60, 4th floor
Col. Bosques de las Lomas
05120 Mexico City, D.F.
+52 (55) 4748 0600
Torre Comercial América, Suite 1802
Batallón San Patricio 111
Col. Valle Oriente
66260 San Pedro Garza García, N.L.
+52 (81) 8363 4221
Galaz, Yamazaki, Ruiz Urquiza, S.C.
Paseo de la Reforma 489 Piso 6
México, D.F., C.P. 06500
Tel: +52 (55) 50806000
Fax: +52 (55) 50806001
Deloitte Mexico, a member firm of Deloitte Touche Tohmatsu Limited, has more than 270 partners and a presence in 22 cities, making it one of Mexico's largest professional firms.
In addition to tax compliance services, Deloitte Mexico can provide advice in the areas of M&A, international tax, transfer pricing, legal services, tax litigation and controversy. Deloitte Mexico's professionals have extensive experience in dealing with competent authority procedures, double taxation and transfer pricing issues, conducting cases before the courts and managing tax audits.
Deloitte Mexico also has a team of industry-specific specialists with a highly developed understanding of a wide range of industry sectors who can assist with Business Model Optimization (BMO) structuring and procedures and can provide input on issues, such as investment repatriation and business restructuring.
Deloitte Mexico is aware that each of its client's will have its own unique needs and expectations and the service offerings are tailored to accommodate the particular business or investment situation.
National Tax Director
Ricardo Gonzalez Orta
Tel. +52 55 5080 7023
Tel. +52 55 5080 6496
Tel. +52 55 5080 7018
Tel. +52 55 5080 6452
Tel. +52 66 4622 7872
Gonzalo Mani de Ita
Tel. +52 81 8133 7360
Global Employer Services
Tel. +52 5080 7002
Customs and Global Trade
Tel. +52 55 5080 6419
Business Process Solutions
Tel. +52 55 5080 6210
Tel. +52 55 5080 7399
Ave. Ejercito Nacional 843-B,
Col. Granada (Antara Polanco)
11520 Mexico City
Tel: +52 55 5283 1300
Tax Managing Partner
Manuel F. Solano Aguilar
Tel: +52 55 1101 6437
National Director of Tax
Manuel F. Solano Aguilar
Tel: +52 55 1101 6437
Tel: + 52 55 5283 1300
International Tax Services
Koen van't Hek Koot
Tel: + 52 55 1101 6439
Tel: +1 305 415 1344
Enrique González Cruz
Tel: +1 713 750 8107
Business Tax Advisory
Tel: +52 55 5283 1489
Global Compliance and Reporting
Alberto R. López
Tel: +52 55 1101 1445
Enrique E. Rios Rippa
Tel: +52 55 1101 6484
Jorge A. Libreros Calderon
Tel: +52 55 5283 1439
Tel: 52 55 5283 1367
Indirect Taxes & Global Trade
Tel: +52 55 5283 8672
Oscar A. Ortiz Molina
Tel: +52 55 5283 1300
Tax Technology and Data Analytics
Tel: +52 55 5283 1460
Mijares Angoitia Cortés y Fuentes S.C.
is exclusively, Taxand Mexico
Javier Barros Sierra 540, 4th floor
Park Plaza I, Santa Fe
01210 México D.F.
Luis Antonio Monroy
Head of Tax Practice
|Corporate Income Tax||30%||A|
|Capital Gains Tax||30%||B|
|Net Operating Losses (years)|
|Interest||10%||15%||21%||35||D E F|
|Royalties from, for example, patents, know-how||25%||35%||D|
A A 10% tax is imposed for employee profit sharing.
B The capital tax rate for foreign residents may be 25% or 35%.
C This tax applies to dividends paid out of profits generated after 2013.
D This is a final tax applicable to non-residents. Payments to tax havens are generally subject to a 40% withholding tax.
E This rate can be reduced to 4.9% if certain requirements are met.
F A reduced rate of 4.9% is granted each year to banks resident in treaty countries.
Luis Carbajo oversees Baker & McKenzie's tax department in Mexico. It has 13 partners and 61 other tax professionals, who provide documentation, defence, planning, consulting, compliance, TP and other services to local and international clients. Clients of the firm work in the energy and utilities, manufacturing, TMT, healthcare and computers, digital, software and online sectors.
In 2015, the firm gave legal advice to a major multinational in a number of questions related to cross-border transactions and on-site activities. These questions needed to be addressed by taking into account the potential positions the tax authorities may take within the context of BEPS and the digital economy.
The firm is also advising a global leader in health and beauty products to implement a legal strategy to challenge a tax assessment issued by the Mexican tax authorities upon the argument that dietary supplements should be subject to VAT, since these are not food products.
Carbajo advises multinationals on international tax planning, M&A, cross-border transactions and other business issues. He is also a member of the firm's Latin America regional tax steering committee.
Basham, Ringe y Correa is a leading full-service law firm that offers a range of tax consulting, auditing and litigation services. The firm has developed specialties in TP, international exchange of information, international tax law and a new tool called a conclusive agreement. The firm's clients include Fortune 500 companies, medium-sized companies, financial institutions, and individuals, and many are in the manufacturing, food, fast-moving consumer goods (FMCG) and agriculture, healthcare and computers, digital, software and online sectors.
The team consists of 24 tax professionals and is led by partners Alejandro Barrera, Gil Zenteno, Mario Barrera, Victor Barajas, Gerardo Nieto and Sergio Barajas. The firm is assisting a mining group in a case where it obtained a constitutional injunction to prevent the company from having to pay two new taxes on mining. Barrera and Zenteno are assisting on the $500 million case.
Alejandro Barrera's specialties are international taxation and tax planning, both domestic and international, while Zenteno knows about tax consulting and planning, tax audit, customs law, foreign trade law, administrative law, constitutional law and social security law. Mario Barrera focuses on domestic and international tax planning and consulting, particularly in areas related to multinationals. Victor Barajas's specialties are tax panning, estate planning and transactions. Nieto's work focuses on international transactions, tax audits, transfer pricing and tax planning. He has represented clients in precedent-setting tax litigation at the federal and state levels. Sergio Barajas is known for his litigation, consulting, customs and foreign trade, and government relations skills.
The advisers at Calderón, González & Carvajal provide planning, consulting and litigation services on a range of topics that include international tax and administrative matters. Alejandro Calderón Aguilera, along with partners Francisco González Zentella and Arturo Carvajal Trillo, lead the practice. Calderón Aguilera practises corporate tax, cross-border transactions, international tax planning, consultation and litigation, transfer pricing, advance pricing agreements (APAs), controversy and competent authority proceedings. González Zentella has co-written numerous publications on tax reform and tax law and practice, tax and administrative litigation and tax planning. Carvajal Trillo is a specialist in Mexican federal taxes, tax compliance, international tax planning, and transfer pricing and APAs, tax controversy and competent authority proceedings.
Chevez Ruiz Zamarripa's tax team has one of the largest tax practices in Mexico, with 43 partners and 348 other tax professionals. The practice is led by managing partner Jose Luis Fernandez and head of transfer pricing (TP) Oscar Campero. Armando Lara Yaffar and Jorge Sánchez Peralta were promoted to the firm's partnership in January 2016. The firm has a specialised team dedicated to litigation, international trade and transfer pricing, and its tax consulting professionals work with clients on day-to-day matters and specialist projects such as corporate restructuring, spin-offs, infrastructure and ventures in the financial sector. The litigation side of the business offers tax advisory, consulting services and defence. It also assists with tax audit procedures, drafting documents that must be filed with tax authorities. The professionals in this part of Chevez Ruiz Zamarripa also support clients in appeals and proceedings before the Federal Tax Court and Administrative Justice or proceedings before the judicial branch.
Many of the firm's clients work in the financial services, manufacturing, technology, media and telecommunications (TMT), transport and hospitality industries
Alejandro Santoyo leads the tax department at Creel, García-Cuéllar, Aiza y Enríquez, which consists of three partners and 18 other tax professionals. The tax practice provides services across a wide range of industries and activities, with a substantial presence in complex capital markets, financial and M&A transactions, as well as Mexican corporate and international taxation, private equity and infrastructure and energy. The team has significant experience in advising large multinational groups, as well as providing consultancy and estate-planning services to individuals. The firm also handles federal and local tax controversy and litigation cases.
The firm's representation of ongoing work includes advice to Union Investment Real Estate GmbH in several real estate investments made as part of its joint venture structures along with Fibra Uno. The firm is also counsel to a consumer goods company in the interpretation and application of the excise tax on alcoholic beverages in Mexico.
Santoyo's specialties include international tax planning, financing transactions, M&A and private equity.
"Creel has in the recent years developed one of the strongest tax practices in Mexico. Alejandro Santoyo, Omar Zuñiga and Jorge Correa are excellent lawyers," said one client.
Ricardo González Orta leads the tax practice at Galaz, Yamazaki, Ruíz Urquiza, or Deloitte. The practice has 72 partners and 913 other tax professionals. They are proficient in matters concerning compliance and advisory, including corporate tax, international tax and indirect and customs-related issues. Over the last two years the firm has been performing a significant amount of work on VAT matters and disputes with the tax authorities.
In September 2015, the firm assisted a client with tax advice and review of the fiscal model in connection with the newly enacted oil and gas tax regime. Partners Carl Koller, Miguel Llovera and Jorge Mesta assisted on the case.
One client said: "I will be glad to recommend Deloitte because of their technical capabilities, professionalism, years of experience in tax matters and their networking with tax authorities." Another client, who used the firm's TP services, said: "In particular I would like to bring your attention to Ricardo González Orta and David Cardenas. I have been working with them for the last seven-plus years and plan to continue doing so."
González Orta has more than 20 years' experience in fiscal matters, and specialises in corporate and international taxation and TP. He has advised Mexican and multinational companies in various sectors and often speaks on these issues at different forums.
The team at DLA Piper Gallastegui y Lozano counsels local and international clients doing business in Mexico and Latin America. Its services include international tax counselling, tax controversy and disputes, transactional tax planning, and transfer pricing. Eduardo Gallástegui Armella is the managing partner of the firm's Mexico City office. He is legal counsel for Mexican and foreign companies dealing with telecommunications law, corporate matters, M&A, antitrust, international trade, foreign investment, health, legislative and governmental affairs, professional sports and specialised pharmaceutical matters.
Garrigues provides consulting and litigation in domestic and international matters. The team of six lawyers and accountants is led by Santiago Chacón. He has more than 16 years of experience, specialising in tax structuring, controversy and M&A.
The team provides assistance to firms in several sectors, including retail, construction, energy, telecommunications, real estate and insurance.
The team is providing tax advice to a construction company on their corporate restructuring process, and analysed the tax implications of the operation.
"Garrigues has assisted us on the tax aspect of our transaction and we appreciate its reactivity, professionalism, seriousness and the quality of their advice," said one client.
KPMG has a wide range of tax services it uses to ensure clients are compliant with their federal, state and international obligations. Its tax practice in Mexico offers advisory, strategies and compliance, corporate tax, transfer pricing, social security and compensation, international executive services and legal services. Agustín Vargas leads the firm's tax and legal department.
EY's Mexican arm Mancera helps companies in all areas of tax, including policy and controversy, compliance, transfer pricing, VAT, and cross-border advisory. Manuel Solano is the managing partner of the tax department and is also in charge of international tax services for EY in Central America. His work includes international tax consulting and planning, advising multinational corporations on the tax and legal implications of cross-border acquisitions, and the establishment of cross-border acquisitions, and the establishment of foreign operations in Latin America.
Mijares, Angoitia, Cortés y Fuentes, Taxand Mexico's tax department is led by Manuel Tamez. He oversees 12 accountants and lawyers, who are specialised on tax consulting, particularly with respect to foreign corporations' investments in Mexico, M&A, real estate projects as well as placement of loans and issuance of securities.
The firm serves companies in industries such as transport, TMT, manufacturing, financial services and computers, digital, software and online. One client said that the firm was "among the best" in Mexico.
In the past year, Tamez, Luis Antonio Monroy, Armando Elsharkawy and Eduardo Kalis advised Heartland on the acquisition of Splenda and all inventory and related assets for Latin America and other parts of the world. This M&A transaction involved planning the acquisition structure for in multiple jurisdictions. The firm worked together with its Taxand affiliates in several countries.
Tamez is experienced in consulting and tax planning, corporate restructures, securitisations, design and implementation of tax consolidation schemes, issuing tax reports on sales of shares, and stock by individuals or by foreign residents, obtaining private rulings on transactions that require specific authorisation by the Mexican Ministry of Finance, and the coordination of tax and constitutional lawsuits.
Muñoz Manzo y Ocampo has a team of professionals who are specialists in M&A transactions, cross-border taxation, indirect taxes, domestic and international tax advisory, and litigation in tax and administrative matters. The team also offers advisory for various public offerings of securities in the Mexican market. Alejo Muñoz Manzo and Eduardo Ocampo lead the tax practice, which has four partners and 35 other tax professionals.
In September 2015, the firm assisted several parties in an analysis and definition of the Mexican tax effects that would arise in connection with a $3 billion financing strategy that the Mexican Federal Government implemented in order to obtain the resources to build the new Mexico City International Airport.
The firm assists companies in the financial services, healthcare, energy and utilities, hospitality, education and TMT industries, to name a few.
The tax team at Nader, Hayaux & Goebel is focused on the tax aspects of high-end transactions and projects. The practice, which started in January 2015, offers services in M&A, private equity and complex capital markets, among others. The firm also advises clients on day-to-day matters.
Adalberto Valadez Hernández has more than 15 years' experience advising public and private companies on federal tax implications relating to their operations in Mexico. He focuses on federal income tax and international tax, particularly in connection with cross-border M&A and in-bound investments, as well as structuring and implementing collective investment vehicles (such as private equity funds) managed by Mexican and foreign sponsors.
The firm is advising Banyan Tree Capital on the creation of a private equity fund that will be incorporated as a Mexican trust under a tax-efficient structure.
The team at Natera focuses on tax consulting, tax controversy, international trade and transfer pricing. Managing partner Cristian Natera focuses on tax and international trade consulting and controversy, and has counselled and represented many enterprises and national and international groups. Luis Natera specialises in transfer pricing and has taught tax subjects at universities and lectures on fiscal and transfer pricing issues in forums organised by the OECD and other prestigious organizations.
PwC has one of the largest tax practices in Mexico. Mauricio Hurtado leads tax and legal services. The firm has a group of multidisciplinary professionals who handle the analysis of fiscal policy including monitoring and evaluation of strategies relating to changes in legislation, regulations and tax provisions as well as communicate with the legislature and the executive branch to provide relevant technical information. Pedro Carreon is the lead partner for analysis and fiscal policy strategy. PwC's international tax group, led by David Cuellar, advises on the application of treaty benefits, M&A tax strategies, operations and structures for new in Mexico and abroad, and the analysis of supply chain and reorganisations. The firm also offers services in foreign trade, tax dispute resolution and transfer pricing, which is led by Fred Barrett. Adolfo Calatayud leads the tax disputes team while Karina Perez and Patricia Gonzalez are the new joint leaders of the financial services tax practice.
Jaime Rojas is in charge of SKATT's tax department. The team of 13 partners and 50 other professionals provides clients with services in business transactions, transfer pricing matters, national and international tax planning, tax treaties interpretation and specialised contributions to specific industries. SKATT's clients work in healthcare, energy and utilities, financial services, food, FMCG and agriculture and manufacturing, to name a few.
In April 2016, the firm assisted a large brewing company on an analysis of excise tax regimes regarding a new product. This matter involved the analysis and identification of possible issues applicable to the introduction of an entirely new product in Mexico.
The team is described as "very reliable and highly competent" by clients, with one client saying: "SKATT is the best firm because they have a team that thinks outside of the box, they always find a tailor-made solution."
Boutique firm Turanzas, Bravo & Ambrosi provides advice on corporate tax, international tax, counselling, representation, litigation, and customs and foreign trade services. Mauricio Abrosi Herrera specialises in tax litigation, international tax, transfer pricing and the shipping and transportation industry. Mauricio Bravo Fortoul is a specialist in estate planning, securities and financial products, infrastructure projects, international tax and tax litigation. Jorge Cabello Alcérreca concentrates on tax litigation, representation before the tax authorities and insurance. Francisco Ortega Gaxiola handles corporate tax advice, representation before the tax authorities, direct sales and infrastructure projects. Pedro Ramírez Mota Velasco deals with financial institutions, estate planning, corporate tax advice, and securities and financial products. Angel Turanzas Díaz also does representation before the tax authorities, corporate tax advice, tax counselling for individuals, direct sales, non-profit institutions and foundations, and fringe benefits. Jorge Fuentes Pérez represents clients before the authorities in litigation cases.
Fernando Moreno leads the tax practice at Von Wobeser y Sierra, which has three partners. The firm offers preventive advice, consulting and litigation to clients that look to solve their tax matters and is sought out by clients that are handling some of the most important deals in Latin America. The team advises companies in the automotive, construction, consumer products, food and beverages, healthcare, information technology and outsourcing, infrastructure, life sciences, manufacturing and maquila services, mining, oil and gas, real estate, tourism and hospitality industries.
Von Wobeser advised a large car manufacturer in tax-related matters in regards to their investment of more than $1 billion in Mexico as part of an important global strategy.
Moreno has almost 30 years of experience advising large global companies on their foreign investment activities and transactions in Mexico.
Guillermo Aguayo leads the tax practice of White & Case in Mexico. The practice advises clients on cross-border and domestic M&A and corporate restructurings, and represents clients in complex tax matters. Aguayo is a specialist in cross-border matters, M&A, restructurings and general tax advice.
|Tier 1 - Mexico|
|Chevez Ruiz Zamarripa|
|Tier 2 - Mexico|
|Basham, Ringe y Correa|
|Turanzas, Bravo & Ambrosi|
|Tier 3 - Mexico|
|Baker & McKenzie|
|Calderón González y Carvajal|
|Creel, García-Cuéllar, Aiza y Enríquez|
|DLA Piper Gallastegui y Lozano|
|Mijares, Angoitia, Cortés y Fuentes, Taxand Mexico|
|Muñoz Manzo y Ocampo|
|Tier 4 - Mexico|
|Von Wobeser y Sierra|
|White & Case|