Federal Government’s Tax Revenue Increases by 5% in 2024

Mexico’s federal government reported a 5% increase in tax revenue for 2024, reaching a total of MX$4.9 trillion compared to the previous year. President Claudia Sheinbaum emphasized that this growth reflects the success of strategies to combat corruption and tax privileges, reiterating that fiscal reform is not yet necessary.

In a morning press conference, Antonio Martínez, Head, Tax Administration Service (SAT), explained that as of Dec. 23, 2024, tax revenues totaled MX$4.91 trillion, exceeding last year’s collections by MX$445.28 billion. This increase represents about 1.5% of the Gross Domestic Product (GDP).

Sheinbaum highlights that this growth was achieved without introducing new taxes, attributing it to improved efficiency at the SAT and policies focused on eliminating tax privileges of the past.

“This is part of the essence of the Fourth Transformation. Without raising taxes, simply by combating corruption and privileges, revenues have increased. The goal for next year is to maintain a similar growth percentage without implementing new taxes,” states Sheinbaum.

Non-tax revenue, however, experienced a significant drop, falling from MX$706.17 billion in 2023 to MX$576.99 billion in 2024, a decrease of 22%. This decline is partly attributed to the reduction in duties paid by PEMEX, a decision made during the previous administration.

Despite this decrease, Sheinbaum emphasizes that non-tax revenues met the targets established in the 2024 Revenue Law. She adds that the increase in tax revenue will allow for a better distribution of wealth, contrasting it with past policies that granted tax exemptions to large corporations.

“Today, tax exemptions are prohibited, taxes are collected properly, there is no corruption, and this is reflected in the revenues achieved in 2024,” states Sheinbaum.