On June 28, 2024, a Decree was published in the Official Gazette of the Federation, by virtue of which the Ministry of Finance and Public Credit (SHCP) and the government of Yucatan will grant various tax incentives and administrative facilities to companies that establish themselves in the new Industrial Welfare Poles (Polos Industriales del Bienestar) located in the Mexican Southeast and that are engaged in certain productive activities.
The benefits include deductible tax credits of up to 100% of the Income Tax in the first 3 fiscal years, and up to 90% in the 3 subsequent fiscal years of the company in the Polos Industriales del Bienestar following certain requirements, and up to the full deduction of the amount of the investment in personal property, in accordance with the criteria of the Decree.
The economic activities that will benefit from the Decree are the following: electrical and electronics, Semiconductors, Automotive (electromobility), Auto parts and transportation equipment; Medical devices, Pharmaceuticals; Agroindustry, Electric power generation and distribution equipment (clean energy), Machinery and equipment, Information and communication technologies (“ICT”), and Metals and petrochemicals.
Mexico’s southeast has a wide range of natural resources and a strategic location for establishing commercial networks with Europe and other key countries in world trade, so the new stimuli provide important opportunities for industrial, social and commercial development in this region.
In addition, the inclusion of ICTs in this Decree confirms the sustained development that ICTs have had in Mexico in recent years, given that they have been a fundamental tool for the digital transformation of industries.
In case of any doubt about the content of this Alert, please contact:
Alberto Díaz de León
Counsel
Juan Carlos Izaza
Counsel
