Tax reform discussions focus on Venezuela and Mexico

In Venezuela, economic experts suggest that tax reform could drive growth and savings. Economist Aaron Olmos noted that reducing or eliminating certain national, state, and municipal tax rates could improve economic dynamics and encourage investment. Discussions are also focused on adapting tax rates for an increasingly digital economy and addressing the heavy fiscal burden reported by business groups such as Fedecámaras and Conindustria.

In Mexico, the Association of Mexican Automobile Distributors (AMDA) is seeking a presidential decree to mitigate the impact of proposed limits on business deductions. Following meetings with the Secretary of Anti-Corruption and Good Government, Guillermo Rosales, president of AMDA, stated that the decree would aim to exempt companies with low profit margins from certain Income Tax Law modifications. The automotive sector argues that their business model inherently operates on low margins, and the new fiscal measures could disproportionately affect them.