Tax Obligations of Residente Temporal

Member since 07 June 2017

ggudewillMember07 June 2017 21:40:43

Does anyone know the tax obligations in Mexico if you hold a Residente Temporal?

I understand that the Residente Temporal is for visitors who want to stay more than 180 days. However, for visitors that stay less than 180 days and who own property, there is the added benefit of a more favourable capital gains tax rate on sale.

Does anyone know the difference between the capital gains tax rate on property if you hold a Visitor's Visa versus a Residente Temporal?

If you own a property for say 20 years, how would the capital gains tax rate be calculated if you held a Residente Temporal for say just the last 4 years?

Thanks!

See also

The tax system in Mexico - Guide
Tax advisors in Mexico - Business
Leaving Mexico by plan with Permanent or Temporal Visa card - 6 Replies
Tax for resident with RFC but less than 183 days - 12 Replies
Filing mexican TAX reports or not (Permanent resident Visa) - 23 Replies
Visa permanente/temporal question - 31 Replies
The letter in Spanish required for residente temporal - 30 Replies

GuestPoster1197023 Guest

GuestPoster1197023Guest08 June 2017 09:00:52

Hi, I am not an expert but my understanding is that you must be have the residency status as permanent or temporary and comply to the financial requirements.
See following link http://www.lamudi.com.mx/journal/como-c … xtranjero/

Secondly, when you sell now (not sure when you buy), you must be registered at the RFC and pay taxes on the capital gain.
See following link http://www.sat.gob.mx/english/Paginas/t … resos.aspx http://www.sat.gob.mx/english/Paginas/i … ebles.aspx

Based on my understanding, the rate they apply will be 25% or 35% but the best is to refer to an accountant from Mexico. Also when you rent your proprety you should pay taxes if not it is TAX EVASION. Just fund a english article on the subject about half way the article "Sale of a Home in Mexico by a Foreign Tax Resident" here is the link http://www.mlsvallarta.com/en/blog/real … mes-mexico

Also, important is if you have lived full time in Mexico then you might pay less.

Mexico has increased his checks on proprety owned by foreigners.

Buena suerte, GyC.