Taxpayers in Mexico have the opportunity to deduct certain goods and services, including medicines and hospital expenses, as they prepare to submit their Annual Return. However, the deduction of hospital expenses will only be possible if they are included in hospital bills, according to the Tax Administration Service (SAT).
In addition to medicines, other deductible expenses include medical and dental fees, fees for professional services in psychology and nutrition, hospital expenses, fees to nurses, analysis and clinical studies, purchase or rental of devices for patient care, prosthetics, and purchase of optical lenses. Premiums for medical expenses insurance are also deductible.
It is important to note that the total amount of deductible expenses may not exceed five Annual Measurement and Update Units (UMA) or 15 percent of total income, with certain exceptions for specific medical expenses.
The deadline to submit the annual return to the SAT in Mexico varies depending on the type of taxpayer. Individuals have until April 30 of the year following the one reported, while legal entities (companies) must submit their returns by March 31 of the following year.
Taxpayers are advised to verify the fiscal calendar each year and remain attentive to possible extensions in deadlines that may be announced by the SAT.