Tax Practice Group I December 18, 2023

Reduction of the Term of IVA-IEPS Certificate Renewals

On October 30th, 2023, and effective as of October 31st, 2023, the Fourth Resolution of Amendments to the General Foreign Trade Rules for 2023 (the “Fourth Resolution”) was published in Mexico’s Official Journal of the Federation (DOF for its acronym in Spanish). The Fourth Resolution, among other items, reduced to 01 year the term of the Business Certification Program for the VAT-IEPS taxes, for categories A, AA and AAA.

Consequently, all renewals of registry in the Business Certification Program for the VAT-IEPS taxes, in any of the aforementioned categories will have a maximum term of 01 year.

Before the Fourth Resolution, the term of the VAT-IEPS certificate for category A was for a term of 01-year, category AA was for a term of 02 years, and category AAA was for a term of 03 years. Pursuant to the Fourth Resolution, all companies authorized to renew their VAT-IEPS certificate will have a 01-year term, regardless of the category.

Companies that have their VAT-IEPS certificate, for the AA and AAA categories at the time of entry into effect of the Fourth Resolution, will keep their duration and effectiveness for 02 or 03 years until the expiration of the term. Renewals of such certification will be for a term of 01 year.

The Fourth Resolution entered into full force and effect on October 31st, 2023.