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Mexico is working to eradicate tax evasion 

Mexico is taking legal action against companies who committed a tax fraud

The SAT has announced it will file several lawsuits against fraudsters - Photo: Yadín Xolalpa/EL UNIVERSAL
24/06/2020 |07:57
Redacción El Universal
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As previously announced, one of the goals set by the federal government is to obtain more resources through ; therefore, one of its main pillars is the Tax Administration Service (SAT) and the recovery of the resources it couldn’t obtain in the past.

The current administration has collected pending debts from but it is also looking to halt among smaller companies, especially in companies with a large number of trade operations: tax fraud through invoices that allegedly prove transactions that never took place, or reporting lower or higher amounts; all these tactics have specific aims, including money laundering .

Now, through the lawsuits filed before the Attorney General’s Office (FGR), the SAT will launch an offensive against tax fraud and tax evaders , who often work with companies that issue false invoices and documents.

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So far, the Mexican government has discovered 43 companies that have simulated commercial operations that translate into fraud , which results in a loss of MXN 55,000 million in taxes for the government.

The is aimed at eradicating the widespread and tolerated practice. A similar practice in Mexico is outsourcing , which looks to reduce the benefits and fees companies have to pay to the minimum.

It is possible to fight those who commit this crime , and at the same time, to discourage fraudulent practices and promote the regularization of these companies while avoiding tax terrorism or political persecution. It is also desirable for the resources that were collected or recovered to be used in areas such as health, insecurity, and job protection.

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