Monday, 12 November 2012

Mexican Judicial Circuit Court reverses lower court on deductibility of pro-rata expenses

"Tribunal Colegiado en Materia Administrativa del Primer Circuito” (the “Circuit Court”), on appeal by the tax authorities, reversed the decision of a lower level, Federal Tax and Administrative Court (“Primera Sala Regional Metropolitana del Tribunal Federal de Justicia Fiscal y Administrativa,” the “Administrative Tax Court”) with respect to the deductibility of pro-rata expenses under the non-discrimination clause of the tax treaty between Mexico and the United States (the Treaty).
Source and more info: Ernst & Young