As global companies optimize operations through nearshoring, Mexico has emerged as a standout destination, not only for its strategic location and skilled workforce, but also for compelling tax advantages specifically advantageous for nearshore IT providers exporting services.
For businesses delivering administrative, IT, or financial services to international affiliates, Mexico offers a powerful opportunity to reduce tax burdens through a combination of 0% VAT incentives and the IMMEX program.
Explore Nearshore Outsourcing 2.0: the Shift to High-Value Work via Technology
The service industry in Mexico is extremely important to the country.
In 2024, the service sector represented over 60% of Mexico’s GDP and nearly 25% of its workforce, a robust foundation for a growing nearshore IT ecosystem.
Shared services, BPO, and IT services are expanding rapidly, particularly in Guadalajara, Monterrey, Querétaro, and Mexico City.
Global companies are establishing service centers for accounting, HR, marketing, and technical support—reflecting a growing trend toward nearshore IT operations.
Service exports from Mexico to the United States have seen sustained growth, driven by an increase in shared services, IT, and administrative support functions. As a natural partner to the U.S., Mexico benefits from geographic proximity, time zone alignment, and a strong framework under the USMCA, which facilitates smoother cross-border trade and investment.
The two countries are deeply integrated through intermediate goods and services, allowing companies to seamlessly extend operations and service delivery. This economic interdependence, supported by favorable trade policies and competitive costs, makes Mexico an ideal nearshoring destination for U.S. businesses.
‼️Additional research into Mexico's service industry can be found below:
There are a number of taxes that are applicable to businesses operating in Mexico, including value-added tax, income tax, payroll tax, and other special programs designed to attract foreign investment.
Understanding how these taxes interact-and how to qualify for exemptions or reduced rates-is crucial to optimizing your operating model.
Visit our BPO: Finance & Tax page to learn more about Mexican taxes.
One of the most attractive tax incentives for companies exporting services from Mexico is the 0% Value Added Tax (VAT) rate available under Article 29, Section IV of Mexico’s VAT Law. These include activities such as essential items like medicines and land, or exported goods and services.
‼️ Did you know that VAT can be reimbursed under several scenarios?
There are multiple trade programs and incentives that allow companies to reduce their VAT tax burden in Mexico. Some of them are:
Ordinarily, services rendered in Mexico are subject to a 16% VAT. However, when those services are considered exported—meaning they are used or “enjoyed” abroad—they may qualify for the 0% rate, eliminating VAT as a sunk cost for international clients or affiliates.
But the legal standard for “use abroad” (aprovechamiento en el extranjero) has evolved. Recent decisions by Mexican courts, including the Supreme Court, have clarified that:
It’s not enough to show that the service was contracted or paid for by a foreign entity.
The taxpayer must prove that the benefits and effects of the service were materialized outside of Mexico.
Simply meeting formal regulatory requirements—like receiving payment from a foreign bank account—is not sufficient on its own.
Key takeaway: A case-by-case analysis is essential, supported by robust documentation (e.g. service agreements, work deliverables, emails, performance metrics) that shows where the value of the service was truly realized.
Recent rulings (e.g. [Tesis aislada I.10o.A.36 A (11.a), August 2023]) confirm that:
The company providing the service has the burden of proof to demonstrate the foreign “enjoyment” of services.
The definition of “exported service” is linked not to formalities alone, but to substantive benefit location.
Even commission-based or intermediary services—like booking logistics in Mexican ports for a foreign shipping company—can fail the test if the services primarily benefit operations in Mexico.
It's important to verify business plans with a qualified finance and legal expert in order to fully understand the risks, according to the specific case.
Mexico’s IMMEX (Industria Manufacturera, Maquiladora y de Servicios de Exportación) program is widely known for its benefits to manufacturing operations, but its Service IMMEX module also presents a significant opportunity for companies looking to establish service centers that provide export services to other countries. By leveraging IMMEX for service-based operations, nearshoring businesses can optimize costs, streamline processes, and enhance their competitiveness in the global market.
Information Technology and software development
Finance and accounting
Administrative or shared services
Customer and technical support
Data analytics, engineering, and design
When provided to non-resident clients or affiliates—and when the services are demonstrably used abroad—these activities can qualify as exports under the VAT law, making them eligible for the 0% rate.
VAT Relief: Exports under IMMEX may qualify for 0% VAT treatment, avoiding unrecoverable tax.
Customs Simplification: While not always relevant for pure service exports, IMMEX registration may ease administrative processes for hybrid operations involving physical goods.
Government Recognition: IMMEX status signals compliance and helps in dealings with SAT (Mexico’s tax authority).
Nearshoring is reshaping supply chains and business ties across North America. Beyond manufacturing, services like digital deliverables and knowledge workflow seamlessly across borders.
Mexico is an increasingly popular destination for service-based nearshoring due to:
By consolidating services in Mexico and exporting them to affiliated companies or third parties abroad, businesses can reduce costs, improve response times, and unlock tax efficiencies.
Key Takeaway: nearshoring is not just advantageous for manufacturing companies; service functions can also obtain important tax benefits for exports. Explore the shared service industry in Mexico.
Nearshoring is no longer a short-term solution—it’s a strategic shift. Companies that move quickly to structure compliant, export-ready service centers in Mexico can achieve major advantages in cost, speed, and tax efficiency.
With the right strategy and structure, Mexico offers one of the most favorable environments in the Americas for building a global service delivery hub.
Mindfacturing® is the solution at the intersection of manufacturing and technology. It’s an EOR designed for the evolving manufacturing landscape in North America, one that is increasingly aligned with technical and service functions.
Mindfacturing® empowers manufacturers to build service teams alongside their operations in Mexico, while ensuring compliance with strict labor regulations and IMMEX in Mexico.
Mindfacturing® is the future of manufacturing in Mexico.
Marcela Cantú is the Vice President of Finance at Prodensa, where she has demonstrated her expertise across finance, accounting, legal and human resources management for over 28 years.
With a comprehensive background in corporate finance, administration, and risk management, Marcela has been pivotal in implementing financial strategies and overseeing investment initiatives that drive the company's growth and operational efficiency. Since October 2021, she has led the finance division, managing financial planning, valuations, and fiscal compliance in alignment of the company's strategic objectives.
Marcela holds a degree in Public Accounting from the University of Monterrey, a Master's in Business Administration from Universidad Regiomontana, and has completed an advanced program at IPADE Business School. She is an active member of the Mexican Institute of Finance Executives (IMEF) and collaborates with the Nuevo León Institute of Public Accountants and the Executive Specialization Institute.
Her professional journey began in 1996 in various accounting firms, and she joined Prodensa in 2001 as an Accounting Leader, advancing through multiple leadership roles.