The president Claudia Sheinbaum stated that there are still many fundraising opportunities without the need for a tax reform.
“If additional reforms are necessary, we will be working throughout next year, but still, I believe; What’s more, We have studied it for several months“There are many opportunities for collection without the need for tax reform,” said the president during her conference this Friday.
He announced, hours before the presentation of the Economic Package 2025 by the Secretary of Finance and Public Credit, that this year there are some adjustments in the fiscal miscellany, although they will be minor.
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“Next year,” he continued, “we are going to dedicate ourselves even more, I said it in the campaign, to strengthening customs collection, to reduce procedures in the SAT to increase collectionin strengthening collection, in avoiding tax evasion.
“Now false invoices remain in the Constitution as an informal preventive detention, and we are going to dedicate a very important effort to it because this issue is still there, we are going to work on it and over the course of the year, in any case review it.”
On Wednesday, the coordinator of the Morena bench in the Chamber of Deputies, Ricardo Monrealexpressed that in the ruling coalition of Morena-PT-PVEM many believe that Mexico will need a profound fiscal reform very soon.
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“Because the distribution of wealth and the egalitarian society to which we aspire require greater effort from those who have the most. That is our philosophy: tax progressivity. And we are going to reach it with justice, with equality and with equity,” said the legislator during the presentation of changes to the opinion that reforms the Article 19 of the Constitution and where he said that there was a deep discussion in his coalition.
Sheinbaum, when questioned about the modification of the rating agency Moodycommented that he did not know what he based it on to talk about an alleged institutional weakening in the country.
In any case, he said, very intense work is being done to attract investment in the country to 2025.
Regarding the economic package that will be presented today, he added that it is very solid, the deficit is reduced and will imply a greater effort from the governmentbut not an impact on the operation of the government.
DG
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How might minor fiscal adjustments influence business investment and economic growth?
Interview Between Time.news Editor and Economic Expert
Time.news Editor (TNE): Welcome to Time.news! Today, we have the pleasure of speaking with Dr. Laura Mendoza, an economic policy expert. Dr. Mendoza, thank you for joining us.
Dr. Laura Mendoza (DLM): Thank you for having me! It’s great to be here.
TNE: Recently, President Claudia Sheinbaum made some compelling statements regarding fiscal policy and fundraising opportunities without the need for tax reform. What are your thoughts on this approach?
DLM: I think it’s a pragmatic stance. Sheinbaum’s focus on utilizing existing mechanisms to bolster revenue indicates a strategic understanding of the fiscal landscape. Tax reforms can be contentious and time-consuming, so exploring existing avenues can yield quicker results.
TNE: She emphasized that they’ve studied this for months and believe many opportunities exist. What types of fundraising opportunities do you think she’s referring to?
DLM: She likely refers to maximizing efficiency in tax collection, such as enhancing customs duties and minimizing bureaucratic hurdles in the tax administration system. Strengthening enforcement against tax evasion, particularly regarding false invoices, is also a critical area where improvements can be made.
TNE: It’s interesting that she mentioned minor adjustments to the fiscal miscellany for this year. In what ways could these adjustments affect the economy in the short term?
DLM: Minor adjustments can create a sense of stability and predictability for businesses. If these changes are aimed at further streamlining processes or reducing compliance costs, they can encourage investment and economic activity. However, if seen as insufficient, it might lead to disappointment among stakeholders who hope for more robust reforms.
TNE: President Sheinbaum also spoke about dedicating efforts to strengthening customs collection. How important is this focus on customs in the overall economic strategy?
DLM: Customs can be a significant revenue stream, especially for a country with a diverse range of imports and exports. Streamlining customs processes can not only reduce delays but also optimize revenue collection and help combat smuggling and underreporting. This aligns well with efforts to formalize the economy and ensure that everyone contributes fairly.
TNE: She stated that they would dedicate considerable effort to addressing issues like false invoices as a preventive measure against tax evasion. Why is this such a pivotal part of their strategy?
DLM: False invoices represent a major loophole in tax compliance and enforcement. By targeting this issue, they can significantly reduce tax evasion and increase government revenue. It also sends a strong message about the government’s commitment to fair taxation, which can enhance trust and compliance among businesses.
TNE: Looking ahead, what challenges might the administration face in implementing these strategies?
DLM: The primary challenge will be resistance from individuals and businesses that benefit from the current system of tax evasion. There may also be administrative hurdles and the need for training personnel to enhance enforcement capabilities. Furthermore, keeping a balance between stringent enforcement and creating a business-friendly environment will be crucial.
TNE: Thank you, Dr. Mendoza, for your insights. It will be fascinating to see how these strategies unfold in the coming year!
DLM: Thank you for having me! I look forward to seeing how the economic landscape evolves.