The Mexican Tax Administration Service (SAT) has published a guide on how to file the annual income tax return for individuals. Filing the declaration is mandatory and must be completed by April 30. To do this, you need a valid electronic signature (e.firma). Not having a signature or an expired one will prevent you from filing the return, which will lead to fines, surcharges, SAT requirements, and ultimately, you will still have to file your income. Experts emphasize that hiding information is not worth it, as the tax authority already knows most of your data. It is crucial to carefully check all figures and not invent fictional information. After filing the declaration, you must save the receipt with the electronic seal. The SAT system automatically loads information based on your invoices and bills. It is important to verify that all data is correct and, if necessary, add or correct any missing information. The result of the declaration is the difference between income and expenses. If you have an amount to pay, you must generate a payment slip and pay it before April 30. If you have a credit balance, you can request an automatic refund, which this year will take between 4.5 and 5 business days. You can find out the status of the refund through your tax mailbox or when the funds are credited to your bank account. All deductions, including medical, dental, insurance, tuition, Afore contributions, and funeral expenses, have limits. The maximum amount of deductions is 10% of your income or 5 UMA (Measurement and Update Units), equivalent to 213,973.2 Mexican pesos, whichever amount is lower. Even though the law sets a maximum refund period of 40 days, it is recommended to provide your CLABE bank account in your name and sign the declaration with your e.firma. You should not be complacent if you have a refund amount, as the SAT checks if your expenses match the declarations of your suppliers. If there is a mismatch, the refund amount may be reduced or rejected. The declaration also asks for the source of your income: salaries, fees, rental income, interest, dividends, prizes, income from digital platforms. You also need to declare if you had income from abroad, assets in tax havens, or if you sold shares. If the answer to any question is no, you should mark 'NO'.
