Non-deductibility of IPAB fees by banks, to align with other countries: SHCP

The proposal to prohibit banks from deducting the fees they pay to the Institute for the Protection of Bank Savings (IPAB) from taxes, included in the 2026 Income Law initiative, seeks to achieve harmonization with other jurisdictions, explained Édgar Amador, Secretary of Finance and Public Credit.

At a press conference where details of the 2026 Economic Package presented Monday night were given, the official explained that, for example, it is something already being implemented in countries like the United States and Canada.

"What we're doing is also aligning it with other jurisdictions. For example, in the United States, in Canada, in most jurisdictions, and in the United States in particular, fees to the organization equivalent to our IPAB are also not deductible from the tax base," he explained.

He added: "So it's a harmonization with respect to international standards."

The Treasury Secretary stated that he has been in talks with representatives of commercial banks following President Claudia Sheinbaum's announcement last Friday, and expressed confidence that the measure will be within the entities' expectations.

"Most Mexican banking is international banking, with concurrent tax laws in the countries where it operates. It won't be heterogeneous, let's say, with respect to the tax jurisdiction it faces," he said.

Antonio Martínez, head of the Tax Administration Service (SAT), commented that the document establishes that the fees paid by banks, intended to cover financial restructuring for the bank bailout, are not deductible, since, he said, they are not linked to the income-generating activity.

“That’s why the decision was made,” he noted.

He mentioned that the estimated calculation is that around 10 billion pesos will be obtained annually with this measure.

Three-quarters of the fees go to the IPAB

The 2026 Revenue Bill proposes that, during next year's fiscal year, three-quarters of the fees paid to the IPAB by commercial banking institutions will not be deductible.

The document emphasizes this in order to prevent abuses in the deduction of expenditures that reduce the tax base and that do not correspond to expenditures that should be made to generate income for commercial banking institutions.

The document recalls that the Bank Savings Protection Law established that banks must pay a fee to the IPAB, in order to establish a system to protect user deposits.

It details that it was established that the IPAB could use three-quarters of the fees paid by the banks to complete the programs and liquidate the operations of the former Fobaproa.

In this regard, it clarifies that these fees are not a general obligation nor payments in favor of the State, since only commercial banking institutions are required to pay these fees.

"It should not be overlooked that the majority of these payments are intended to clean up the financial system through the Fobaproa bank bailout."

Similarly, the initiative proposes that Crowdfunding Institutions (CFIs) comply with their obligation to withhold and pay Income Tax (ISR) and Value Added Tax (VAT) corresponding to the transactions in which they participate as intermediaries.

"The proposed obligation must be made to individuals, corporations, or foreign residents," it states.