Mexico: Notice on VAT Withholding Requirements for Digital Services

May 20, 2020 | Digital Services, VAT Updates

VAT Updates America

The Mexican Tax Administration (SAT) has issued a release on the initiation of regulations for withholding tax on payments for digital services provided by non-residents without an establishment in Mexico. The requirements will enter into force on 1 June 2020, with non-resident providers required to withhold VAT on payments received for digital services provided in Mexico. The release includes that non-resident providers of digital services in Mexico must electronically issue and send a voucher (in PDF format) that clearly indicates that a payment for digital services is subject to VAT, and the amount.

 

Source Credit – Orbitax

SUBSCRIBE TO GLOBAL VAT NEWSLETTER

Get the latest VAT information directly in your inbox and stay up to date with all VAT developments around the world.

You have Successfully Subscribed!