Development Poles for Well-Being: SHCP announces fiscal incentives
Mexico‘s Ministry of Finance and Public Credit (SHCP) announced on Monday a package of incentives for those who invest in the Development Poles for Wellbeing of the Inter-Oceanic Corridor of the Isthmus of Tehuantepec.
In general, tax benefits and administrative facilities are granted to taxpayers who carry out productive economic activities within the Development Poles for Wellbeing that are determined as such, according to the corresponding declaration, by the decentralized public entity called the Inter-Oceanic Corridor of the Isthmus of Tehuantepec.
In order to maintain the aforementioned tax benefits, taxpayers must present advances in the referred investment project and comply with the minimum employment levels determined by the SHCP in accordance with the provisions of such project and in conformity with the economic activity they develop.
To begin with, the SHCP grants a tax credit equivalent to 100% of the Income Tax (ISR) incurred during three fiscal years.
Likewise, this tax credit will be equivalent to 50% of the ISR in the three subsequent fiscal years, or up to the equivalent of 90% in the event that the taxpayers exceed the minimum employment levels, under certain terms.
These same taxpayers, during six fiscal years, may make the immediate deduction of 100% of the original amount of the investment of new fixed assets used in the Welfare Development Poles to carry out their productive economic activities, instead of applying the maximum authorized percentages.
Development Poles for Well-being
In addition, the SHCP grants a tax incentive for four years to taxpayers that carry out productive economic activities within the Welfare Development Centers, that dispose of goods, provide independent services or grant the temporary use or enjoyment of goods to persons that carry out productive economic activities within the same Welfare Development Center in which they are located, or in a different one from the one in which they are located.
The tax incentive consists of a tax credit equivalent to 100% of the Value Added Tax (VAT) payable on the sale of goods, the rendering of independent services or the granting of the temporary use or enjoyment of goods referred to in the first paragraph of this article, and will be creditable against the tax payable on the aforementioned activities.
Without prejudice to the fiscal stimuli and administrative facilities established at federal level in the present decree, the Inter-Oceanic Corridor of the Isthmus of Tehuantepec may promote before the corresponding federal and municipal entities the necessary actions so that these grant fiscal facilities and incentives to the persons that carry out productive economic activities within the Development Poles for Well-being.
