A very relevant concept in the tax area is the tax credit, it must be understood as the income that the State has the right of in its public right functions that come from taxes, exploits or accessories. In other words, tax credits are the rights of charges in favor of the State, or debt you have with the State and it emerges from what’s stipulated in the tax laws.
The 4th article of the Mexican Law Code establishes that “Tax credits are the ones the State has the right on acquiring or its decentralized authorities that come from taxes, accessories or exploits, including the ones that come from responsibilities the State has the right to demand from its officers or the employees from individuals, and also the ones the laws give this function to and the State has the right to obtain by others.
The amount of the tax credit can be updated from the moment its generated until it is applied.
The tax credit is a figure determined when the total of tax deductions is higher than the aggravated incomes, this means that those products that generate taxes and that are divided according to the fee applied to them, in the matter that it concerns them.
The property tax is a tax credit example for it is determined by law and it’s a fee determined by this law.
To realize a charge the following is needed:
➲ ID and location
➲ Name, business name of the debtor and, if needed, of the legal representative.
➲ RFC (Federal Taxpayer Registry) number of the debtor with its “homoclave” (differential code)
➲ Debtor’s full address: street, number, neighborhood, city, state, zip code, district or town.
* An original or a certified copy of the tax credit document must be sent.
If the authority that issues this has more data that allows the location of the debtor, in case of considering it relevant, will provide it to the SAT (Secretary of Finance) officers or the States, depending on the case.
To determine a tax credit, this procedure will follow:
- Contact the officer or authority who determines the tax credit.
- Have the legal tax credit document, with the signature of the officer who authorized it, in an original or a certified copy.
- Resolution number.
- Date of the tax credit approval.
- The term(s) that the tax credit was originated for.
- Tax credit figures, its equivalent in Mexican pesos.
- Date the payment should’ve been covered. It doesn’t apply to fines.
- Specify in the tax credit document, the exact destination when it involves non-tax administrative fines.
- Expiration or legal termination date.
- Notices and subpoena evidence, if required, an original of the tax credit document or a certified copy.
