By: Stephen Downer
January 2, 2014
MEXICO CITY — Mexico’s maquiladora industry says it is seeking clarification from the government of five amendments to a new tax law. It believes the changes are favorable to the sector.
The Mexican Congress’s upper and lower chambers approved the so-called Reforma Hacendaría in October. The legislation filled the industry with trepidation as it removed tax exemptions that had been in place for six decades.
However, the five amendments, published in the Mexican Federation’s official gazette (Diario Oficial) on Dec. 26, have raised the industry’s spirits.
They relate to income tax, value-added tax and the use in Mexico of machinery owned by companies located outside the country, among other matters.
The National Council of the Maquiladora & Export Manufacturing Industry (known as Index), said Dec. 27 that it will monitoring the impact of the new decree. Index represents 20 maquiladora associations across Mexico. The sector comprises 5,111 companies which employ in excess of 2 million workers.
According to government statistics, companies within the maquiladora program, which dates back to 1965, imported supplies and machinery valued at $156.3 billion in 2012 — a sum that caught the attention of Mexico’s finance ministry.