New Decree for the Development of the Mexican Export Industry

November 26, 2006
New Decree for the Development of the Mexican Export Industry

New Rules for Maquiladora and PITEX Companies. On November 1, 2006, the Mexican Department of the Economypublished in the Official Journal of the Federation a new Decree for the Development of the Manufacturing, Maquiladora andExports Services Industry (IMMEX Decree). The IMMEX Decree, which will enter into force on November 13, 2006, isdesigned to strengthen the competitiveness of the Mexican export sector. The IMMEX Decree is comprised of the rulesgoverning the Program for the Development and Operation of the Maquiladora Exportation Industry (Maquila Decree) andthat establishing the Temporary Importation Program for the Production of Exported Goods (PITEX Decree). According tothe Department of the Economy, the IMMEX Decree will help position Mexico as a leader in the world services market, notonly in the production of goods, but also in the development of design, re-engineering, remanufacturing, softwaredevelopment and information technology service industries, as well as “outsourcing” activities for administration, accounting,subcontracting, data processing and client services, among others. The new IMMEX Decree will attempt to simplify thetransmittals, requirements and forms related to the authorization, expansion and annual reporting of exporting companies In addition, the tax provisions that all companies falling under the Decree will receive a zero percent (0%) value added tax(IVA) rate for the invoicing of services, reduced times for obtaining refunds of value added tax without the necessity ofregistering as a high exportation company (ALTEX), and receiving the same Mexican income tax (ISR) treatment, thusguaranteeing tax neutrality for all companies participating in export programs.

Share this article:

Related Articles

View all
Link Arrow
No items found.

Recent Articles

View All Articles