Issue 113–June 2013



June 21, 2013

Legal Entities May File the Notice of Suspension of Activities before the Mexican Tax Administration Service

On June 6, 2013 a new case decision was published in the Judicial Weekly of the Federation (May 2013 – Page 1742) regarding the interpretation of Article 27 of the Mexican Federal Tax Code and Article 25 of its Regulations, which allow legal entities to file a notice of suspension of activities before the Mexican Tax Administration Service (Servicio de Administración Tributaria, SAT), thus ending a pattern which, until such date, had been approved by the tax authority. The title of this case decision is “NOTICE OF SUSPENSION OF ACTIVITIES. SUCH MAY BE FILED BY INDIVIDUALS AND LEGAL ENTITIES (INTERPRETATION IN ACCORDANCE WITH ARTICLE 26, SECTION IV, PARAGRAPH A) OF THE REGULATIONS TO THE MEXICAN FEDERAL TAX CODE, issued by … read more


June 10, 2013

Modifications to Foreign Trade Rules

By Iker Dieguez

On June 6, 2013, the Mexican Department of the Economy published in the Official Journal of the Federation the “Agreement modifying the prior agreement by means of which the Mexican Department of the Economy (“SECON”) issued general rules and criteria on Foreign Trade” (the “Agreement”). The Agreement constitutes the first modification to the rules published by SECON on December 31, 2012 and contains the following modifications:   1. The “recovery of materials” concept is specified for purposes of permitted activities that are considered industrial processes for preparation and transformation under IMMEX and PROSEC programs (Rules 3.2.1 and 3.4.4); 2. Origin criteria is standardized in accordance with that under the North American Free Trade Agreement as to goods originating from the … read more


New Legislation regarding Changes in Use of Forest Land, and the Federal Environmental Impact Statement
By Jorge Ojeda

When considering the development and construction of real estate in Mexico, it is necessary to verify whether such land is considered "Forest Land" and, if so, to inform the Mexican Department of Environment and Natural Resources (“SEMARNAT”), in advance, regarding the change of use of forest land. Such process requires, among other things, an approval of the environmental impact, which involves conducting an Environmental Impact Statement ("MIA"). The General Law for Sustainable Forest Development broadly defines "Forest Land" by stating that such is land that is covered by "forest vegetation," or, "an environment where plants and fungi, grow and develop naturally, forming forests, jungles, arid and semi-arid areas and other ecosystems, developing the coexistence and balance of other resources and … read more


Termination of Employment Relationships (Part Two)
By Pablo Sáenz

Continuing with the topic of the Termination of Employment Relationships in Mexico that began in an article published last month, below is a discussion of the termination of the employment relationship and individual employment contract by: (i) the signing of a resignation and settlement by the employee, and (ii) the mutual consent of the parties, by means of entering into an agreement before the applicable Labor Board of Conciliation and Arbitration. 1.- Termination of the relationship and individual employment contract, by the signing of a resignation and settlement by the employee. This type of termination of the employment relationship is used in the following situations: (i) when a worker or an employee notifies the company that he/she desires to voluntarily … read more


When Should a Copyright on an Authorial Work Be Registered?
By Antonio Campero

In order to claim exclusive rights regarding a symbol or invention, whether a brand, advertisement, patent or industrial design, prior issuance of a registration certificate from the corresponding government office, such as the Mexican Institute of Industrial Property (IMPI), is required. Such registration is a formal and somewhat complex procedure. By contrast, a copyright on a work is automatically legally protected because copyright protection exists from the moment the work is created. Also, the creator of such work has the option of registering such creative work with the Mexican National Copyright Institute. Such copyright registration is simply to confirm copyright protection; however, by no means is registration required in order for the corresponding rights to be enforceable. At times, it … read more