Overview
- Eligible expenses include medical and hospital care, funerary costs, donations, major medical insurance premiums, tuition and school transport, mortgage interest and retirement savings contributions.
- Each deductible expense must have a CFDI with the taxpayer’s RFC correctly recorded and a concept that matches the service or product purchased.
- Payments must be made by bank transfer, credit or debit card, or nominative check in the name of the person claiming the deduction, as cash is not accepted.
- Total personal deductions are limited to the lesser of five annual UMAs or 15% of total income, including exempt income.
- Individuals who are or have been under the Régimen Simplificado de Confianza are not allowed to claim personal deductions, and the SAT urges requesting invoices monthly and keeping orderly records.