U.S. companies denounce aggressive tax audits by Mexico's SAT

A group representing approximately 300 influential U.S. multinational companies, including Amazon, Ford, ExxonMobil, FedEx, Walmart, and Visa, has escalated complaints regarding the Mexican Tax Administration Service (SAT) to the U.S. Congress. The National Foreign Trade Council (NFTC) submitted a letter to Senate Finance Committee members Mike Crapo and Ron Wyden, alleging that the SAT is engaging in “unprecedented” and aggressive tax enforcement practices.

The NFTC claims the SAT is imposing increasing burdens on multinational firms by denying legitimate tax deductions and conducting questionable audits. The group warned that these practices are disincentivizing investment and job creation in Mexico. While the Mexican Ministry of Finance issued an agreement in May to curb excessive reviews, the NFTC characterized the measure as insufficient.

In response to these tensions, the American Society of Mexico (AmSoc) has called for direct dialogue with the Mexican Ministry of Finance. AmSoc President Larry Rubin stated that the goal is to resolve concerns through institutional channels to strengthen legal certainty and investor confidence, emphasizing the need for clear rules and predictable procedures to maintain North American productive chains.