In accordance with the Tax Report and Management from First Quarter 2023, the Tax Administration Service reported that ancillary tax collection in Foreign Trade registered a yearly increase of 30.3% in real terms

At the beginning of the year, primary oversight actions were announced by the authorities for this year, in accordance with the master oversight and tax collection plan published by the Tax Administration Service [SAT] on January 29. The said plan revealed that during 2023 SAT would focus on carrying out six oversight plans; one of which would be strengthening of the review foreign trade transactions, mainly on temporary importations and verifications of origin. 

During the month of May, the federal treasury published the Tax Report and Management from First Quarter of 2023, which shows that oversight in Foreign Trade had the greatest impact on achieving tax collection without adjudication, since 26,472 million pesos were registered in the first quarter, which represented a yearly increase of 30.3% in real terms, with respect to the same period from the previous year:

  Cuadro 13. Cobranza sin necesidad de Judicialización.
Millones de pesos

Source: SAT, “Table 13” showing Tax Report and Management. First Quarter 2023.            

Audits are also based on the constant monitoring of contributors who conduct business with permissions, certifications, or programs that promote foreign trade, such as the Decree for the Development and Operation of the Maquiladora Export Industry, Sectoral Promotion Programs [in Spanish: IMMEX and PROSEC respectively], VAT/Special Tax on Production and Services [in Spanish: IVA/IEPS respectively], Authorized Economic Entity, and Strategic In-Bond Sites; among others. 

Without question, investing in a Trade Compliance Check (Health Check) prior to receiving an assessment from the Tax Administration Service, [SAT], provides companies with the time to correct or research these transactions by means of a detailed analysis, which is designed to detect the potential risks of each operation as well as to propose solutions based on best practices. 

It is important to remember that this Master Oversight and Tax Collection Plan for 2023 contains additional line items and specific conduct to be reviewed such as: 

• Wrongful application of tax credit balances.
• Refunds, 0% rate, non-object, and temporary import.
• Underpricing in foreign trade transactions and wrongful use of treaties.
• Verification of non-compliance with VAT and Special Tax on Production and Services [IVA-IEPS].
• Pensions, exempt payroll, and fictitious specialized services vendor.
• Corporate restructuring and tax effects of spin-offs and mergers.
• Partners and shareholders (individuals with operations associated with restructurings).
• Incurrence and application of Tax Losses.
• Transactions with preferential tax regimes.
• Financings, capitalized liabilities, and dividend distribution.
• Foreign payments and international restructurings.
• Trust review.
• Among others. 

Considering this oversight plan for 2023 by the authorities, it is imperative to be in compliance with your tax obligations. Consequently, we can assist you with preventive measures and risk assessment for your company.

If you have any questions, J.A. DEL RÍO can provide you with our experts to advise you in matters concerning compliance with your legal and tax obligations. Once again, please let us know if we may be of any further assistance to you at: contacto@jadelrio.com