Simplified Trust Regime (RESICO): Who Qualifies and What You Get
Learn if you qualify for lower income tax rates under the RESICO regime and what you need to do to stay compliant.
The Simplified Trust Regime (RESICO) is a tax system designed to reduce the tax burden for individuals running small businesses or working as freelancers.
Who it's for
This regime is available to individuals who earn less than 3.5 million MXN from their business activities each year.
What you get
The primary benefit is a significantly lower income tax rate. Depending on your total earnings, the rate stays within a very low range, from 1% to 2.5%.
What it costs you
While the tax rates are lower, there are administrative responsibilities. You are required to use an electronic signature (e.firma) and you must issue electronic invoices for your transactions every month.
The catch to know
To remain in this simplified regime, you must be diligent with your paperwork. You are required to issue an invoice for every single sale or service you provide.
How to apply
- Ensure your annual income stays below the required threshold.
- Obtain your electronic signature (e.firma) through the official tax authority.
- Set up your system to issue electronic invoices for all business activities.
- Manage your monthly filings through the official portal: https://www.sat.gob.mx