Grocery Vouchers: Who Qualifies and What You Get
Learn how grocery vouchers work as a tax-efficient benefit for employees and a deductible expense for companies in Mexico.
Grocery vouchers are a non-cash benefit provided to workers that offers specific tax advantages for both the employer and the employee within the Mexican fiscal system.
Who it's for
This benefit is designed for employees who receive non-cash benefits as part of their compensation package. It is a way for companies to provide value to their staff through specialized credits rather than just standard salary payments.
What you get
The benefit works differently depending on whether you are the worker or the employer. For the employee, these vouchers are received tax-free, meaning the value of the groceries purchased does not increase your taxable income. For the company, these vouchers are a tax-deductible benefit, allowing the business to reduce its tax burden while providing a valuable service to its workforce.
What it costs you
There is no direct cost to the employee, but the company must manage the logistics of the program. This requires contracting a voucher provider to handle the distribution and management of the funds. These providers are third-party entities that facilitate the use of the non-cash benefits.
The catch to know
To ensure the benefit remains fully deductible for the company, there is a limit on the value provided. The amount must not exceed 40% of the UMA value per month to qualify for the full tax deduction.
How to apply
- Consult with a tax professional to understand the UMA-based limits for your specific situation.
- Select and contract a voucher provider to manage the distribution of the benefits.
- Set up the benefit within the company's payroll and tax compliance structure.
- Distribute the vouchers to eligible employees as part of their non-cash compensation.