Mexico to tax Digital platforms : Deputy finance minister

The finance ministry of Mexico plans to tax the digital platforms like Netflix. A senior government official said that the tax plan will be executed in its budget plan for next year.

Arturo Herrera, the Deputy Finance Minister said that Mexico’s total tax take was very much less when compared to other Latin American countries and that it needed to increase the public revenues.

Herrera, on mentioning Netflix said that there so far was no international agreement regarding how to tax digital services, given that their servers may be based in countries such as the United States, but there are customers in other parts of the world.

There was international agreement that countries should be able to levy “interim” taxes on such companies while a broader consensus on the issue is forged, said Herrera.

Herrera said, “And these interim measures are what we’re going to be working on in the coming months”.

Another digital platform that have emerged rapidly in Mexico is ‘Uber’, the online ride service.

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