Knowing about all tax obligations is necessary for any citizen. The operation and administration of the State depend on the payment of taxes, and in public investment it is noticeable when it is invested appropriately. Payroll Tax (ISN) is a tax paid in all 32 states to local treasury offices.
But, that it is local does not mean that it can stop paying. Establishes the obligation to pay a corresponding fee for transactions related to the work activities they have. The payment of salary and benefits, for example, originates a payment of Payroll Tax.
What is the amount of the Payroll Tax (ISN)?
The amount to be paid for Payroll Tax varies according to the jurisdiction. A recent study located the oscillation of the rate from 0.5% to 3.0%. In all cases this tax is regulated by a state law in force in each jurisdiction. In Sinaloa there is a variable rate between 2.40% and 3.0%, in the state of Hidalgo it is where you pay the least, since the calculation begins with a rate of 0.5%.
What concepts are taxed with the Payroll Tax?
You have to be attentive to what are the concepts that are taxed by the Payroll Tax. Those considered are:
- Salaries, overtime and seniority bonuses.
- Commissions and compensation.
- Bonus payment.
- holiday premiums
- Payments to surveillance, directors and administrators.
What concepts are not contemplated in the Payroll Tax?
Among the concepts that are not contemplated to be taxed in the Payroll Tax are the following:
- Contributions for the SAR, Retirement Savings System.
- IMSS or ISSSTE premiums
- Staff funeral expenses
- Retirements or pensions
- utilities
- Social welfare benefits.
How much do I have to pay in Payroll Tax?
The calculation of the Payroll Tax must be included in your operating costs. If you are considering starting a new business, or opening a company, contact us to offer you all the personalized information on the taxes that you will have to do at the time.
Some states of the Mexican Republic have subsidies to the Payroll Tax as a stimulus to the establishment of businesses and companies in each jurisdiction. In the same way, we invite you to contact us to advise you directly on your particular case.
