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New Year brings new taxes in Mexico
From pet food to junk food
Baja Californians awakening today, New Year's Day, face what the daily newspaper El Mexicano describes as "a cascade of taxes."
In addition to an increase in the sales tax to 16 percent, Baja Californians will be assessed the following new taxes beginning January 1, 2014, according to the newspaper:
Pets — Food for cats, dogs, and other small species will be taxed an additional 16 percent. The tax also applies to sales of pets.
Sodas and sweetened drinks — A tax of 1 peso (about 8 cents) per liter will be assessed. The tax also applies to concentrates, powders, syrups, and extracts used to make beverages.
Chewing gum — Since it is not considered food under Mexican law, chicles will be taxed an additional 16 percent.
Junk food — A tax of 8 percent will be assessed on items classified as "junk food" — food that provides 275 calories or more per 3.5 ounces. Among the specific items to which the tax applies are candies, ice cream, cookies, beer, and soft drinks.
Gasoline — The tax on a liter of gas will go up about 5 cents for regular and slightly over 6 cents for premium.
Jet fuel — A tax of about $1 per liter goes into effect on Jan. 1.
Income tax rates — 30 percent for those earning up to $40,000 a year; 32 percent for those earning $60,000 or more per year; 34 percent for annual incomes of more than $80,000; and 35 percent on incomes over $240,000. Deductions cannot total more than 50 percent of income.
Capital gains — A tax of 10 applies to profits obtained in the stock market.
Here's something you might be interested in.
New Year brings new taxes in Mexico
From pet food to junk food
New Year brings new taxes in Mexico
From pet food to junk food
Baja Californians awakening today, New Year's Day, face what the daily newspaper El Mexicano describes as "a cascade of taxes."
In addition to an increase in the sales tax to 16 percent, Baja Californians will be assessed the following new taxes beginning January 1, 2014, according to the newspaper:
Pets — Food for cats, dogs, and other small species will be taxed an additional 16 percent. The tax also applies to sales of pets.
Sodas and sweetened drinks — A tax of 1 peso (about 8 cents) per liter will be assessed. The tax also applies to concentrates, powders, syrups, and extracts used to make beverages.
Chewing gum — Since it is not considered food under Mexican law, chicles will be taxed an additional 16 percent.
Junk food — A tax of 8 percent will be assessed on items classified as "junk food" — food that provides 275 calories or more per 3.5 ounces. Among the specific items to which the tax applies are candies, ice cream, cookies, beer, and soft drinks.
Gasoline — The tax on a liter of gas will go up about 5 cents for regular and slightly over 6 cents for premium.
Jet fuel — A tax of about $1 per liter goes into effect on Jan. 1.
Income tax rates — 30 percent for those earning up to $40,000 a year; 32 percent for those earning $60,000 or more per year; 34 percent for annual incomes of more than $80,000; and 35 percent on incomes over $240,000. Deductions cannot total more than 50 percent of income.
Capital gains — A tax of 10 applies to profits obtained in the stock market.