Chamber of Deputies Approves 2025 Federal Revenue Law

The Chamber of Deputies has approved the Initiative for the 2025 Federal Revenue Law (ILIF), which projects public revenue of MX$9.302 trillion, representing approximately 22.3% of the country’s GDP. The draft of the ILIF is now scheduled for review, debate, and potential approval by the Senate.

The initiative passed with 344 votes in favor, 114 against, and no abstentions. According to the decree, 57% of the total revenue (MX$5.297 trillion) will be generated from tax collection, which will remain the principal source of public funding. Additional revenue will be derived from the sale of goods, provision of services, and other sources, including PEMEX, CFE, IMSS, and ISSSTE, contributing MX$1.500 trillion. Financing income is expected to generate MX$1.246 trillion, accounting for 13.4% of the total.

Among the key proposals in the ILIF is the creation of a tax regularization program aimed at individuals and MSMEs with annual revenues under MX$35 million to facilitate the settlement of outstanding tax liabilities and encourage voluntary compliance with tax obligations. The ILIF also proposes that funds generated from the elimination of autonomous agencies be allocated to the Treasury as income to support the Pension Fund for Well-Being.

The initiative does not propose fiscal reform, as the primary objective of the Tax Administration Service and the Ministry of Finance is to meet the revenue target through enhanced efficiency, streamlined processes, and digitalization to ensure full compliance with tax obligations.