#

Ease of Doing Business in

Mexico

Mexico Download Profile (2060.2KB, pdf)
Region Latin America & Caribbean
Income Category Upper middle income
Population 127,017,224
GNI Per Capita (US$) 9,710
City covered Mexico City, Monterrey

190

1

DB 2017 Rank

1

100

DB 2017 DTF (% points)

  • local_library
  • group
Topics DB 2017 Rank DB 2016 Rank info_outline Change in Rank DB 2017 DTF (% points) info_outline DB 2016 DTF (% points) info_outline Change in DTF (% points) info_outline
Overall 47 45 down
2
72.29 71.95 down
0.34
Starting a Business 93 72 down
21
85.74 86.92 down
1.18
Dealing with Construction Permits 83 87 up
4
69.79 68.91 up
0.88
Getting Electricity 98 84 down
14
68.32 70.11 down
1.79
Registering Property 101 111 up
10
61.05 56.89 up
4.16
Getting Credit 5 5
-
90.00 90.00
-
Protecting Minority Investors 53 51 down
2
60.00 60.00
-
Paying Taxes 114 112 down
2
65.81 65.85 down
0.04
Trading across Borders 61 60 down
1
82.09 82.09
-
Enforcing Contracts 40 42 up
2
67.01 65.69 up
1.32
Resolving Insolvency 30 29 down
1
73.11 73.03 up
0.08

Positive= Doing Business reform making it easier to do business.Negative= Change making it more difficult to do business.

Viewing the data for

DB 2017 DTF (% points):

65.81

DB 2016 DTF (% points):

65.85

Change in DTF (% points):

down0.04

Indicator Mexico City Latin America & Caribbean OECD high income
Payments (number per year) info_outline 6 28.9 10.9
Time (hours per year) info_outline 286 342.6 163.4
Total tax rate (% of profit) info_outline 52 46.3 40.9
Postfiling index (0-100) info_outline 42.6 44.0 85.1
Tax or mandatory contribution Payments (number) Notes on Payments Time (hours) Statutory tax rate Tax base Total tax rate (% of profit) Notes on TTR
Corporate income tax 1 online 122 30% taxable profit 25.56
Employer paid - Social security contributions 1 online 64 various rates gross salaries 22.15
Employer paid - Payroll tax 1 online 3% gross salaries 3.38
Property tax 1 online various rates property value 0.86
Vehicle tax 1 online various rates value of vehicle 0.04
Value added tax (VAT) 1 online 100 16% sales price 0.00 not included
Employee paid - Social security contributions 0 jointly various rates gross salaries 0.00 withheld
Totals: 6 286 52
  • Answer
    Profit tax (% of profit) 25.6
    Labor tax and contributions (% of profit) 25.5
    Other taxes (% of profit) 0.9
    Answer Score
    Postfiling index (0-100) 42.6
    VAT refunds 60.0
    Does VAT/GST exist? Yes
    Frequency of VAT/GST refund submission monthly
    Does a VAT/GST refund process exist per the case study? Yes
    Restrictions on VAT refund process None
    Likelihood of VAT audit Likely
    Time to comply with VAT refund (hours) 20.0 60.0
    Time to obtain a VAT refund (weeks) 37.2 34.4
    Corporate income tax audits 76.1
    Does corporate income tax exist? Yes
    Likelihood of corporate income tax audit Likely
    Time to comply with a corporate income tax audit (hours) 14.5 76.1
    Time to complete a corporate income tax audit (weeks) 35.0 0.0
    Administrative appeal process
    First level administrative appeal authority Tax Authority (SAT)
    Is the appeal authority independent? Independent department within tax office
    Are appeal guidelines accessible to the public? Yes
    Source of appeal guidelines online/in printed publication/in person at tax office
    Is there a legal time limit for the appeal authority to issue a decision on the tax appeal? Yes
    Legal time limit 4 months

Notes:

Name of taxes have been standardized. For instance income tax, profit tax, tax on company's income are all named corporate income tax in this table.

The hours for VAT include all the VAT and sales taxes applicable.

The hours for Social Security include all the hours for labor taxes and mandatory contributions in general.

The postfiling index is the average of the scores on time to comply with VAT refund, time to obtain a VAT refund, time to comply with a corporate income tax audit and time to complete a corporate income tax audit.

N/A = Not applicable.