What is the RFC number in Mexico?
In Mexico, the RFC stands for ‘Registro Federal de Contribuyentes’. The RFC is issued by the Mexican Tax Administration Service (Servicio de Administración Tributaria), and it is a 13-digit alphanumeric number for any physical person and a 12-digit alphanumeric number for any legal person (a company) in Mexico. It is utilized in most procedures either with public or private entities.
The RFC is one of the most significant documents that a foreign citizen who wants to carry out a commercial activity in Mexico can have.
Requirements to obtain the RFC or Mexico tax ID
It is important to comply with a series of requirements in order to acquire the RFC in Mexico. Below is a list that can serve as a check-list:
- You will need the CURP “Clave Única de Registro de Población” or, in the case of dependents, the personal identification card granted by the Ministry of the Interior.
- Official document of incorporation.
- Proof of registered address.
- Power of attorney in case of legal representation.
- Valid identification of the Legal Representative of the company.
- For foreign shareholders, a generic RFC has to be incorporated for compliance.
Depending on the type of organization, extra documents might be needed.
Employers who use the services of an unregistered worker are expected to register them with the tax authorities. In order to avoid being disciplined, it is very significant that employers ask for documentation that validates the information of their workers.
It’s important to verify that you have everything in order before beginning the procedures to obtain the RFC in Mexico.
How can I obtain the RFC in Mexico?
The process can be carried out in two ways: either by digital means on the SAT website by accessing online or at any of the SAT offices in Mexico.
The simplest way to process the Mexico tax ID is by internet and you must follow the steps outlined below:
- Enter the SAT website.
- Obtain your RFC with the Unique Key of Population Registry.
- Enter your CURP and enter the verification code that is automatically generated.
- You must verify that the information entered and confirmed it corresponds to your data.
- Add your fiscal address and your e-mail address.
Once you have finalized the above steps, the SAT will create a unique acknowledgment of registration in the Federal Taxpayers Registry which comprises a QR code as well as your tax identification card where your RFC number is identified.
Similarly, you can carry out the process in person or with a representative. The initial thing to do is to schedule an appointment at the SAT.
When you attend the SAT office to register, you will need to take a printed copy of your CURP, your residency card, and some official ID – your passport is best.
Respecting the documents that you will be required to bring, besides the CURP, it is possible that extra documents may be needed, this will be requested directly by the SAT system at the time of making your appointment.
Can I obtain the RFC number in Mexico?
If you are new to Mexico and you want to execute business and make payments effortlessly, besides opening a bank account, procuring an RFC number is important. So, yes, Mexicans and foreigners with or without permanent establishment aged 18 or over can acquire their RFC for free. You do not get any tax obligation and you won’t have to file any type of tax return with the government until you start having financial activity that requires paying taxes. This is what the Mexican Taxpayer’s Defense Attorney guarantees. For these reasons, it is proposed to obtain the RFC in Mexico as soon as possible.
Who must obtain the RFC in Mexico?
If you pay taxes in Mexico, you’ll presumably need an RFC. So virtually all taxpayers including workers in companies or in the government, business owners –Tax Incorporation Regime, and self-employed workers have to obtain the RFC in Mexico.
What is the purpose of obtaining the RFC number in Mexico?
Employers can use the RFC to report income tax deducted from employees’ paychecks, and businesses in Mexico use it to report their income and tax-deductible expenses.
Obtaining the RFC number in Mexico is not advantageous for the payment of taxes only, but with the RFC in Mexico, you can access other facilities, such as opening a bank account, possession of a credit card, access to social programs or scholarships, sale of properties, access to social security, participation in Retirement Funds Administrators, and use of Infonavit service.
In addition, the RFC is used to track business and commercial transactions, payments, and expenses for taxation reporting goals.