Mexico AML Reform 2026: New LFPIORPI Compliance Obligations for Business Owners
Mexico’s 2026 LFPIORPI reform changes AML compliance for vulnerable activities: risk-based approach, beneficial owner, PEPs, alerts, audits and automated controls. Mexico AML Reform 2026: New LFPIORPI Compliance Obligations for Business Owners Mexico’s anti-money laundering compliance framework is changing significantly. Through Agreement 115/2026, published in the Federal Official Gazette, the general rules related to the Federal […]
Business Purpose in Mexico: The Standard That Can Invalidate Your Transactions Even If They Are Legal
The SAT may recharacterize legally valid transactions if they lack a legitimate business purpose. Learn what Article 5-A of the Federal Tax Code requires and how to protect your corporate restructurings. Business Purpose: The Standard That Can Invalidate Your Transactions Even If They Are Legal Article 5-A of the Mexican Federal Tax Code (Código Fiscal […]
Do Foreigners Need an RFC in Mexico? Property Owner’s Guide
Foreign property owners in Mexico often assume an RFC is optional. Here’s when it’s required, when it isn’t, and what happens if you skip it. Do you actually need an RFC to own property in Mexico? One of the most frequent questions we hear from foreign property owners in Los Cabos is a deceptively simple […]
SAT Invitation Letter 2026: What to Do and Mistakes You Should Avoid.
Receiving a SAT Invitation Letter is not the same as being audited. However, if handled incorrectly, it can ultimately lead to one. Here’s what it is, why you received it, and how to respond properly. SAT Invitation Letter: What It Is and How to Respond Without Making Costly Mistakes Receiving an Invitation Letter from Mexico’s […]
Common Mistakes Foreigners Make When Starting a Business in Mexico
Starting a business in Mexico is a great opportunity, especially in booming sectors such as tourism, construction, and vacation rentals in Los Cabos, La Paz, San José del Cabo, and the East Cape. However, many foreign entrepreneurs face delays, unexpected costs, and penalties due to mistakes that can easily be avoided with proper legal and […]
Accounts Payable (AP) Process in a Company — Best Practices & Compliance Guide.
The Accounts Payable process refers to a company’s short-term obligations to pay suppliers and service providers for purchases made on credit. A well-structured AP workflow is essential for maintaining cash flow management, ensuring tax compliance, and strengthening vendor relationships. Invoice Receipt Purpose: Ensure accurate capture of invoices for timely processing.Process: Receive invoices via email, vendor […]
Residential Lease in Mexico: A Complete Tax Guide for National and Foreign Property Owners.
Tax Audits in Construction: What No One Tells You About Deductions and Materiality in Mexico Do you own a house, condo, or apartment in Mexico and are renting it out for residential purposes? Whether you’re a Mexican resident or a foreign national, the residential lease in Mexico involves key tax obligations that you must understand […]
Tax Audits in Construction: What No One Tells You About Deductions and Materiality in Mexico
Tax Audits in Construction: What No One Tells You About Deductions and Materiality in Mexico Do you want to ensure profitability and fiscal peace of mind for your construction company in Mexico? Discover how to avoid tax audits, penalties, and the loss of key tax deductions in your construction projects. Tax audits in the construction […]
Legal Ways to Remunerate Partners and Shareholders in Mexico
Tax strategies, documentation and asset protection for business owners and investors. In the dynamic Mexican business environment, remuneration of partners and shareholder payments is a core issue for business owners, investors, and SME directors. There are several legal ways to remunerate partners in corporate entities, each with specific fiscal, legal, and accounting implications. Adopting the […]
Financial Statements: How to Interpret the Financial Health of Your Business
Is your business truly profitable, stable, and sustainable? Financial statements are more than just accounting reports. They are essential strategic tools that reveal the profitability, stability, and growth potential of a business. For entrepreneurs and professionals in Los Cabos, Baja California Sur, understanding them is key to making informed decisions. In this article, we explain […]
