Mexico Publishes Rules On Compliance of Anti Money Laundering Obligations

; posted on
April 25th, 2019

The Mexican Tax Administration Service (SAT) published the rules on compliance of anti money laundering obligations in its official gazette.

Anti-money laundering law obligations

The Tax Administration Service (SAT) recognized that there is an increased number of taxpayers performing vulnerable activities and they are not in compliance with obligations stated in the anti-money laundering laws. These obligations are related to identification and reporting of possible vulnerable activities, like issuing credit cards, purchase and sale of real estate, foreign trade activities and more. In general, vulnerable activities are those that by their nature, are exposed to the entry of money obtained from illegal sources, affecting the national economy.

The new rules establishes that, subjects who have not fulfilled the obligations mentioned on the article 18 of the “LFPIORPI” regarding the period from July 1st, 2013 to December 31st, 2018, would be able to implement self-regularization programs, with previous authorization of the SAT as long as they fulfill all their tax obligations. The program allows all companies that fail to comply with their AML obligations between such period the option to self-correct and avoid administrative penalties.

To participate in the program, taxpayers who failed to comply with such obligations may submit a regularization programme to the SAT within 30 business days from the date on which the General Rules enter into force. Once authorized by the SAT, taxpayers must comply with the regularization program within six months, in which case the SAT will not impose any penalty related to the above-mentioned obligations.

SAT expects that taxpayers will provide the required information on a monthly basis and that each company has policies to check the risk levels within their vulnerable activities.

The date of enforcement

The Rules on self-regularization program enter into force 45 business days after their publication in the Official Gazette.

Source: Mexican Secretariat of the Interior

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