Mexico Introduces Incentives for Financing Mexican Companies Including Rate Reduction on IPO Shares and Exemption on Interest from Bonds

On 8 January 2019, Mexico published a Decree in the Official Gazette for the introduction of incentives for investments in residence companies. This includes:

• An exemption from withholding tax on interest derived by non-residents on listed domestic corporate bonds, provided that Mexico has either a tax treaty or tax information exchange agreement with the jurisdiction of the non-resident (exemption provided through a credit equal to 100% of the tax to be withheld);
• The application of a redu…