Business Reason: New Scope
Tax attorneys Mario Barrera and Miguel Angel Rosas Ortiz published an article in the magazine Legal Industry Reviews analyzing how the 2022 tax reform in Mexico has broadened the scope of an anti-abuse clause in the Fiscal Code of the Federation. The attorneys explain that this provision established that the country's fiscal authority would presume the lack of a business reason when a taxpayer receives a larger tax benefit than economically reasonable. In addition, the concept of "business reason" found itself limited by adjectives. However, the tax reform established that this concept would be expanded to specific operations or regulations. In this article, the authors detail these changes and their implications for taxpayers.
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