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Mexico Grants 100% Stimulus That Halts 8% Tax on Violent/Adult Videogames

Officials cite unresolved classification problems that make the levy unworkable.

Overview

  • Published in the federal gazette on Dec. 31, the decree credits 100% of the IEPS and effectively nullifies the new 8% charge as of Jan. 1, 2026.
  • The benefit covers sales of physical titles and digital access or downloads, including foreign platforms, provided the tax is not passed to consumers.
  • The stimulus is creditable against IEPS, generates no refunds or compensations, and is not treated as income for income tax purposes.
  • The order lifts certain IEPS formalities for platforms and removes the risk of temporary service blocking tied to this tax, while leaving Value Added Tax obligations intact.
  • Congress approved the levy in November with expected revenue of about 183 million pesos, and opponents such as Ricardo Monreal argue the Executive lacks authority to neutralize a tax enacted by lawmakers.