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Mexico's 2026 Tax Reforms Raise Withholdings, Expand SAT Powers

Rising deductions for savers signal a push toward faster audits with real-time oversight across digital platforms.

Overview

  • Following publication in the Diario Oficial on November 7, the new tax framework takes effect on January 1, 2026 unless specific provisions set different dates.
  • The withholding rate on bank interest income rises from 0.5% to 0.9% starting in 2026, affecting cash flow for savers and investors.
  • Digital platforms will apply a 20% withholding of income tax and value-added tax to users who lack a Federal Taxpayers Registry (RFC), formalizing collection and discouraging informality.
  • An expedited procedure will allow the SAT to suspend a taxpayer’s ability to issue invoices when false invoicing is detected at the outset of a review.
  • The reforms broaden SAT oversight with wider access to financial information, expanded grounds to cancel or restrict digital seals, real-time data obligations for platforms, and authorization to use electronic tools during domiciliary visits under CFF Article 49 BIS, Section III.