Analysis by Mijares, Angoitia, Cortés y Fuentes, Taxand Mexico
The Mexican government has recently published amendments to the registration process for specialised service providers, as outlined in Article 15 of the Mexican Federal Labor Law. These changes, published in the Official Gazette, are part of the 2021 subcontracting reform and dictate that specialised service providers must renew their registration with the government registry (REPSE) every three years.
The renewal process involves compliance with tax and social security obligations and, for individuals, the inclusion of services within their tax status certificate. The STPS has introduced a “Registration Renewal” module on the REPSE platform, available for three months based on the original registration date. Failure to renew can lead to the inability to deduct income tax or credit VAT, as well as substantial fines, and providers must inform service beneficiaries upon successful renewal.
Armando Elsharkawy, Claudio Jiménez de León, Enrique Ramírez, Luis Monroy, Nora Morales, and Rodrigo del Valle from our Mexican firm, Mijares, Angoitia, Cortés y Fuentes, analyse this change in more detail here.
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