Mexico: Second resolution of modifications to fiscal resolution for 2024 including withholding tax enters into force

On 11 October 2024, the second resolution of modifications to fiscal resolution for 2024 including withholding tax enters into force. It clarifies the definition of digital intermediation services under the Mexican value-added tax (VAT) law. It applies to non-resident digital platforms that facilitate transactions between sellers and buyers in exchange for payment or compensation. It specifies that platforms qualify as intermediaries even if they present themselves as mere online stores or aggregators without direct involvement in negotiations or pricing. It requires platforms to withhold 100% of VAT on goods sales when payments go to foreign bank accounts.