Tax & Compliance
Mexico's value-added consumption tax at the standard 16% rate.
IVA (Impuesto al Valor Agregado) is Mexico's VAT, charged at 16% (8% in border zones). Mileage reimbursement itself does not trigger IVA, but fuel and maintenance for company vehicles carry recoverable IVA via CFDI. Self-employed taxpayers can credit IVA paid on vehicle inputs against IVA collected from clients.