Overview
- Tax officials say the measure will stop insurers from accrediting VAT that belongs to repair shops, with projected recurring receipts of MXN 20–25 billion annually.
- The change is embedded in a transitory article of the 2026 Income Law that passed the lower house and is pending Senate approval.
- The SAT outlined a fiscal stimulus that forgives prior unpaid VAT if companies cease the practice and comply going forward.
- The insurance industry association said firms will comply, while agents warn auto and major medical premiums could rise roughly 10–20% and coverage could be squeezed.
- Hacienda’s position holds that VAT on payments made solely to indemnify the insured is not creditable, and the SAT also defended new platform data access as strictly for fiscal verification.