Mexico's Ministry of Finance and Public Credit (Secretaría de Hacienda y Crédito Público) proposed capping deductions for companies with revenue above 50 million pesos, a limit that reaches grocery vouchers, health insurance and savings funds, according to Expansión. The 2027 Economic Package does not eliminate those benefits: it subjects them to the same ceiling as the rest of deductible expenses.
The mechanism is part of the new chapter of the Income Tax Law that Hacienda submitted with the package. El Economista reported on September 10, 2026 that it applies to legal entities resident in Mexico with accumulated income above 50 million pesos and taxable profit: those that deduct up to 96.67% of their income may apply 99% of those deductions, while those that exceed the threshold are capped at 96.67%, with the unused portion deferred for up to 20 fiscal years. Hacienda estimates additional revenue of up to 140 billion pesos from the changes to deductions and tax losses. The adjustment touches the design of compensation packages for formal employment at large companies, where vouchers, insurance and savings funds operate as hiring differentiators.
Eric Palacios, a tax consultant at Von Wobeser y Sierra, describes the effect this way: each benefit "competes" with other deductible expenses for limited space. He anticipates three corporate responses: more moderate salary increases, more selective hiring and changes in the composition of compensation packages, and he clarifies that these are possible scenarios, not documented decisions. Carla Martínez Santistevan, of De La Vega & Martínez Rojas, draws another limit: benefits agreed as working conditions or recognized as acquired rights cannot be eliminated by a tax change, and the higher income tax legally falls on the company. Palacios also reads the planned exclusion for those who apply the additional 25% deduction for training expenses under Plan México as relief from the pressure of the new cap, and Martínez Santistevan notes that the profit-sharing base is not modified.
The initiative is still under discussion in Congress and its text may change before it becomes law. The signal for 2027 is that the tax cost of each benefit stops being an isolated human resources data point and enters the calculation that defines the company's income tax.
This article was written with the assistance of artificial intelligence based on verified sources and reviewed by a human editor before publication.