La Paz, BCS, Mexico - Welcome to The Settlement Company's Third Quarter, 2017 Mexico Resort & Real Estate Newsletter. In this edition we bring you articles on paying rental property taxes, notice of real estate meetings, natural disasters and economic news.
Taxes on Rental Properties - An Obligation
Expat blogs, websites and online newspapers are full of information about the growing problem of foreigners who are renting their homes or condominiums and failing to pay Mexican taxes. Not only is this a violation of Mexico's tax law with severe penalties if discovered, but also it violates the terms of most bank trusts (Fideicomisos) and could result in cancellation of the trust. Foreigners are obligated to pay taxes on income generated in Mexico, no matter where the income is received. Click HERE to learn more.
Upcoming Real Estate Meetings
November 3-6: NAR Realtors Conference and Expo, Chicago, Illinois
November 10: Third Annual AMPI Playa del Carmen Forum, Playa del Carmen, Quintana Roo
November, 18-20: AMPI Congress and Annual Meeting, Villahermosa, Tabasco
November 24-25: Third Annual ASPI Congreso Inmobiliario, La Paz, Baja California Sur
Three Special Economic Zones Created in Southeastern Mexico
While Mexico is in mourning for losses caused by natural disasters there is some positive news on the economic front. Three special economic zones in southeastern Mexico are forecast to benefit from US $5.3 billion in private-sector investment and create 12,000 new jobs over the next three years. President Enrique Peña Nieto recently signed decrees for the creation of the zones in Coatzacoalcos, Veracruz; Lázaro Cárdenas-La Unión, Michoacán; and Puerto Chiapas, Chiapas. He described it as a "great milestone" for the southern region of the country. The port at Lázaro Cardenas is closer to the U.S. North East than either Long Beach or Los Angeles.
It has been a Quarter full of natural disasters causing loss of life and property. The Caribbean Islands, the United States of America and Mexico have all been hit hard. The Settlement Company® is very pleased to be able to promote the work of the International Community Foundation (ICF) in raising funds for those hit hardest.
As is often the case when a natural disaster strikes, the people with the least material things frequently lose the most. This is usually the case with hurricanes and earthquakes. Mexico has suffered a rash of natural disasters. We at The Settlement Company® are aware of the losses for the people in the most modest neighborhoods in the affected areas. These are the people who are most in need of help.
The International Community Foundation has been working tirelessly for many years to help Mexico. It has just announced the Baja California Disaster Relief Fund to help build the areas so affected by Tropical Storm Lidia.
Additionally, a contribution to the ICF's International Relief Fund will aid in the recovery process that is required by the devastation caused by the magnitude 8.1 earthquake centered in southwestern Mexico on September 7 which resulted in wide destruction and dozens of deaths.
We invite you to please join us in giving a helping hand to the people who work so hard in our communities and contribute so much to our lives. Important point: all donations are fully deductible, in the U.S. or in Mexico, as preferred.
Anne McEnany, President and CEO of the International Community Foundation, works tirelessly to help our people in Mexico. Let's give her a helping hand. Thank you in advance for your generosity!
John Glaab is Director, International Marketing at The Settlement Company, Mexico's oldest title and escrow company. A Certified International Property Specialist, he is a founding member of AMPI Los Cabos and the new Global Mexico Real Estate Institute. In 2012, John was named the International Real Estate Member of the Year by NAR. For further information, contact John at John.Glaab(at)settlement-co.com.