LatinNews Daily - 11 February 2019

* Mexico’s tax authority (SAT) has reported that it has received 100,000 applications from local firms to be included in the economic stimulus programme announced by the government led by President Andrés Manuel López Obrador for the country’s northern border states. Under the stimulus programme, firms that operate in northern border states are eligible to receive a temporary tax break that would see them pay an 8% value-added tax rate (VAT) compared with the normal 16% VAT rate applicable in the northern border areas. A SAT statement noted that the aim of the economic stimulus package is to promote increased consumption in the northern border area by charging a VAT rate that is comparable with that charged in the US border states, so as to discourage residents of the northern border states from going to the US to buy goods.

End of preview - This article contains approximately 141 words.

Subscribers: Log in now to read the full article

Not a Subscriber?

Choose from one of the following options

• Subscribe
• Sign up for a one-time, 14-day trial