Quick answer — Mexican S. de R.L. at a glance. Foreigners can form a Mexican S. de R.L. de C.V. (limited liability company), which needs at least two partners, or a simplified SAS with a single shareholder but revenue limits. Corporate tax is 30%, and dividends paid out of profits face an additional 10% withholding. Mexico taxes residents on worldwide income and decides residency by where your home and centre of vital interests are, not only by days spent.
Mexico City, Oaxaca, Playa del Carmen and Puerto Vallarta are among the most popular places in the world for remote workers. Many stay for long periods on tourist entries or temporary residence, and some start serving Mexican clients or hiring locally. That is when a Mexican company enters the picture.
Mexico is not a low-tax jurisdiction. Corporate tax is 30%, dividends add another 10%, and the tax authority (SAT) is known for close supervision and electronic invoicing. More importantly for nomads, Mexico's residency test is based on having a home there and, if you also have a home elsewhere, on your centre of vital interests. Long stays can make you a Mexican tax resident even without a company.
It does not suit nomads who only serve foreign clients and want to avoid Mexican tax residency. It is not designed for locally employed expats or retirees.
Comparing Latin American options? See our guide to open a company in Latin America.
If you are comparing destinations, see the Costa Rica company with a nomad visa and Colombian SAS registration.
You are a Mexican tax resident if you have your home in Mexico. If you also have a home in another country, Mexico looks at your centre of vital interests — for example, whether more than half of your income comes from Mexican sources or your main professional activity is in Mexico. Day counts alone do not decide.
Foreign shareholders must register their investment with the National Foreign Investment Registry. Shareholders and legal representatives need an RFC (tax number), and the company's legal representative needs an electronic signature (e.firma), usually obtained in person at the SAT.
Amounts are indicative.
About 37% overall before any tax in the shareholder's country of residence.
The Mexico Business Bank Comparison Guide compares the main banks for foreign-owned companies — get it when you start your Mexican setup with Heavnn.
Yes. Foreigners can own up to 100% of a Mexican company in most sectors. An S. de R.L. needs at least two partners; an SAS can have one but has revenue limits.
Corporate income tax is 30%, and distributions of profits face an additional 10% withholding.
When your home is in Mexico. If you also have a home elsewhere, Mexico looks at your centre of vital interests, such as where most of your income or professional activity is.
Yes. The company, its legal representative and shareholders need an RFC, and the legal representative needs an e.firma for electronic filings.
It is Mexico's mandatory electronic invoicing system. Every sale and many payments must be documented with a CFDI.
In Mexico, the first question is whether you are already a tax resident. Heavnn checks that before you incorporate.
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This guide is general information, not tax or legal advice. Rates and fees are indicative as of October 2026.
