Page 185 - Caribbean-Central America Profile 2018

MEXICO

CARIBBEAN-CENTRAL AMERICA PROFILE 2018

The Department of Foreign Investment approves PROMÉXICO covers goods, services, government procurement,
the establishment of companies under the ProMéxico is the federal government agency intellectual property rights, investment, and
Maquiladora program in-bond industry. responsible for coordinating strategies aimed dispute settlement mechanisms.
at strengthening Mexico’s participation in the
Directorate of Foreign Investment
Boulevard Avila Camacho No. 1, international economy, supporting the process CENTRAL BANK
Piso 11 Lomas de Chapultepec, of exporting firms established in the country Banco de Mexico
Mexico, D.F. 11000 and coordinating activities aimed at attracting Gerencia de Caja Principal,
Tel: (525) 540-1326/540-1313 foreign investment. Calz. Legaria 691,
ProMéxico Col. Irrigacion, C.P. 11500 Mexico
TAXES Website: www.banxico.org.mx
The principal taxes affecting companies doing Camino a Santa Teresa # 1679
business in Mexico are the federal corporate Col. Jardines del Pedregal
income tax, withholding taxes, VAT, tax on cash Del. Álvaro Obregón NATIONAL STOCK EXCHANGE
deposits, tax on real property and social security Zip Code: 01900, The Mexican Stock Exchange (Bolsa Mexicana
contributions that must be made on behalf of Mexico City, Mexico de Valores) is a private institution governed by
employees. Some taxes are levied at the state Tel: +52 (55) 5447 7000
and municipal levels. Email: promexico@promexico.gob.mx the Mexican Securities Market Act. Any foreign
individual can invest in Mexican securities
Under mandatory profit sharing rules, employers listed on the Bolsa Mexicana de Valores directly
are required to distribute and pay 10% of their TRADE AGREEMENTS
“adjusted” taxable income to employees. The As an export-oriented economy, more than 90% through authorised Mexican brokerage firms or
actual distribution of profits must be paid within of Mexican trade is under free trade agreements through the acquisition of American Depository
60 days after the corporate income tax return (FTAs) with more than 45 countries, including Receipts (ADR’s). In the U.S. investments in
has been submitted (and no later than 31 May of the European Union, Japan, Israel, and much of the Bolsa are limited to only “series A” issued
the following year). Central and South America. Mexico established stocks or ADR’s. The Exchange switched to
A copy of the Mexican Foreign Investment Law comprehensive free trade agreements with electronic trading in 1999, eliminating the
may be obtained from the Mexico City Chamber the U.S. and Canada, with Colombia and need for traders to be physically present at the
of Commerce. Venezuela (G-3) and with Bolivia, Costa Rica exchange.
and Nicaragua. In addition, the “Northern
Mexico City Chamber of Commerce Triangle” Free Trade Agreement allows Mexico
Paseo de la Reforma, No. 42, Bolsa Méxicana de Valores
Cuauhtemoc 06048, Mexico, D.F. to trade freely with Guatemala, El Salvador and Mexican Stock Exchange
Mexican Investment Board Honduras. Paseo de la Reforma 255,
Paseo de la Reforma 915, Cuauhtémoc, 06500, México, D.F.
Lomas de Chapultepec, Mexico and the European Union have pledged
Mexico, D.F. 11000 to strengthen economic and political ties. Tel: (525) 726-6600
Tel: 52 55 3685 2269 MEFTA came into effect on July 1, 2000. It is Fax: (525) 726-6836
Website: www.ccmexico.com.mx a comprehensive Free Trade Agreement that Website: www.bmv.com.mx

Starting a Business - Registration Requirements:
No. Procedure Time to complete Costs
Obtain the authorization of using the company
1 2 days no charge
name online
Notary prepares the deed and parties sign it at the MXN 10,500 (notary fees) + MXN 15,950
2 2 days on average
notary public (registration fees)
File the deed of incorporation with the Public
3 Half a day (online procedure) Included in procedure 2
Registry of Commerce
Obtain Tax Registry Number (RFC) at the the Half a day (online procedure) , 2
4 no charge
Sistema de Administración Tributaria, SAT days if done by the entrepreneur
Register with the Mexican Social Security Institute
5 1 day no charge
(IMSS)
Register with the local tax administration
6 (Secretaría de Finanzas del Gobierno del Distrito 1 day no charge
Federal) for payroll tax
Notify the local government (Delegación) online of Less than one day (online
7 no charge
the opening of a mercantile establishment procedure)
Register with the National Business Information
8 Registry (Sistema de Information Empresarial, 1day The costs can vary from MXN $100 to MXN $670
SIEM)
Source: The World Bank Group

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