Article 77-A fraction XIII of the Income Tax Law (LISR) establishes that companies dedicated exclusively to the generation of energy from renewable sources or efficient electricity cogeneration systems, in the year in which they apply the deduction provided for in Article 34, fraction XIII of the LISR, which will be calculated under the same terms as the net tax profit account provided for in Article 77 of said Law.
For purposes of calculating the profit account for investment in renewable energies, instead of the net tax profit for the year referred to in Article 77, the profit for investment in renewable energies for the year should be added. The distribution of dividends will be applied during the useful life of the asset and until the fiscal year in which the tax profit is determined. In addition, an accumulated record of dividends is kept and will be deducted from the UFIN balance until it is over.
The Tax Code of Mexico City establishes that companies that prove they have started operations in high technology sectors will be entitled to a reduction equivalent to 55% of the Payroll Tax, 30% of the Property Tax and 80% of the Tax on the Acquisition of Real Estate.
In order to obtain the reduction, companies must present a certificate from the Ministry of Economic Development, stating that the company has the innovation and development of high technology goods and services in areas such as new energy technologies and renewable energies as its corporate purpose.
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