Economy Politics Local 2025-12-04T22:22:46+00:00

Nuevo León Business Community Opposes Payroll Tax Increase

All business chambers in Nuevo León unite against the state government's proposal to increase the Payroll Tax (ISN). Business leaders argue it will harm employment, which has already fallen by 47%, and call on authorities for responsible fiscal management.


Nuevo León Business Community Opposes Payroll Tax Increase

All business chambers in Nuevo León have come together to criticize the state government's proposal to increase the Payroll Tax (ISN), a move supported by some opposition figures.

"We disagree with the tax increase, especially of the Payroll Tax. The Congress today has the opportunity to show that fiscal policy can be a development tool," said Santos Reyna.

The increase in the Payroll Tax would boost state revenue by up to 6 billion pesos, of which 90% would be contributed by the large corporations in the entity.

The proposal is from the state government and the PAN party. According to the coordinator of deputies, Carlos de la Fuente, the opposition does not reject it outright: "They only call saying it's impossible... it's not enough, solid arguments on the impact on the business sector are required."

"The labor dynamics in our state are currently very fragile. In the first 10 months of 2024, 104,000 formal jobs were created, but in 2025, fewer than 55,000 new positions were generated. This represents a 47% decrease... we must, we cannot, and it's beyond our means to continue with a spending policy based on luxury, fashion, and rock and roll; we must be responsible and serious. The government is very good at spending and very bad at managing," he added.

The relationship between the business community and the political sector is in a state of tension due to this fiscal policy.

Meanwhile, the head of Canaco NL - and a key ally of the opposition - Fernando Canales Steltzer, stated that this would affect job creation, which has already fallen by almost 50% in 2025, and launched harsh criticism at MC.

"We are calling on the state government and legislators to maintain the focus on protecting employment and competitiveness in the state... the business sector is facing one of the most complex moments in recent years due to internal and eternal factors, such as tariff pressures, economic uncertainty and instability, aggressive global competition... in the midst of this adverse environment, increasing taxes would have an immediate and painful impact on the creation of thousands of jobs," declared the businessman.

They understand they do not have a decisive vote in the 2026 Budget Package, but they want to gain support in a key sector for the 2027 elections.

MC seeks to approve the tax increase, PAN supports it, Morena rejects it, and the PRI is lobbying. This has also generated tension between the PRI and PAN legislative alliance, as some tricolor deputies, unlike the PAN deputies, assure they are against any tax increase.

They believe it will affect formal employment and translates into unnecessary revenue for the Executive Branch.

The president of Caintra, Jorge Santos Reyna, alerted the Congress that it has the opportunity to "not hinder development" through fiscal policy and considered the revenue the state government already collects to be excessive.

Even the president of the Budget Commission, Lorena de la Garza, will hold a meeting with entrepreneurs to improve the relationship with the private sector.

On the part of the 4T, mayors, senators, and the Morena caucus have also shown their support for the business community and will also hold private meetings.