Mexico

Tax residency in Mexico is generally triggered by physical presence exceeding 183 days in a calendar year. Foreign income treatment: unknown. Controlled Foreign Corporation (CFC) rules are in force. Residents who own or control foreign entities may face attribution of that entity's undistributed profits under local anti-avoidance provisions.

Income tax (ISR) 1.92–35%. Additional 10% dividend tax. Digital nomad via temporary residency (Residente Temporal). VAT 16% (0% in border zones). Large nearshoring boom. Popular expat destinations: CDMX, Oaxaca, Mérida, San Cristóbal. EU Annex II (grey list).

The standard corporate income tax rate is 30%. Establishing a legal presence here involves a higher degree of administrative complexity, often requiring local legal assistance.

Banking access in Mexico is attainable but may require more documentation and time than in simpler jurisdictions. Internet connectivity is generally good, with consistent broadband availability in business districts and main population centres.

Mexico is a member of the Financial Action Task Force (FATF) and meets its anti-money-laundering standards. EU tax blacklist status: grey_list. Structures involving this jurisdiction may attract additional scrutiny or reporting obligations under EU member state rules.

Based on our scoring model, Mexico ranks highest for Digital Nomad and Freelancer. It offers a reasonable proposition for digital nomad (score: 58/100). It offers a reasonable proposition for freelancer (score: 53/100). It scores lower for founder / entrepreneur and high net worth individual, who may find other jurisdictions more suitable for their specific requirements.