What is Mexico's Mandatory Disclosure Regime (MDR)?
Mexico has introduced a new law that requires lawyers, accountants, bankers and tax advisers to proactively report certain tax transactions to the tax authorities. The Mexican law is part of an OECD initiative to combat tax evasion, known as BEPS Action 12, and is similar to the EU's DAC6 regulation. Mexico’s mandatory disclosure law will be in force from January 2021, with a requirement to report historic data.
For Mexico, this means that businesses will need to review transactions that go as far back as January 2020. Businesses that start keeping track of transactions now will find it easier to report transactions when the mandatory disclosure law is in force in Mexico.