Congratulations! Your U.S. based company has decided to expand to Latin America, and the first country of choice is Mexico. When a company opens a subsidiary in Latin America, the first challenge they face is the new back office accounting requirements. In the case of Mexico, the biggest test your company will encounter will be the Withholding tax calculation.
Withholding taxes are important when hiring professional services or renting in Mexico. All the transactions that involve them are also present in legal reports, required by the government, that cannot be filled without specific tax information such as DIOT legal ledgers.
Now, you might be wondering how your company will fulfill all these requirements and tax compliances you didn’t even know existed! Don’t worry, we’re here for you.
LatamReady is the leading authority in NetSuite localizations for Latin America, and our biggest weapon is the LatamReady SuiteApp. Inside you’ll find a Tax Engine called LatamTax, specifically designed to support Mexican and Latin American Withholding Tax rules.
It doesn’t stop there, the LatamReady SuiteApp is certified by Oracle NetSuite twice a year, and has been developed following the same standards NetSuite uses for developing its own modules. It’s the tax compliance solution for U.S. based companies with subsidiaries in Latin America.
If your company’s ultimate goal is financial consolidation, then contact us or check our website https://www.latamready.com/ for more information.
If your doubts about Mexico’s tax regulations increased after this article, you can go into https://www.latamzone.info/ and watch our entire webinar about it!
One thought on “Oracle NetSuite in Mexico: How to calculate Withholding Taxes?”
As an employer, your business can only calculate withholding for federal income taxes based on the information given to you by employees. Each employee must complete at hire. This form includes information about the employee s marital status, the total number of allowances to be considered, and any additional amount the employee wants to be withheld from each paycheck.