Correction. For taxable in Mexico income (private pensions, withdraws from IRAs, etc.) refer to this chart: So as you can the entire amount of the income isn't taxed. It's the basic as shown plus the rate for overage. Also for US people you can credit the Mexican tax paid on your US return. ax Bracket OverviewTaxable Income (MXN) Basic Tax (MXN) Tax on Excess (%) 0.01 - 10,135.11 0 1.92 10,135.12 - 20,000 194.00 6.40 20,000.01 - 35,000 1,194.00 10.88 35,000.01 - 50,000 2,194.00 16.00 50,000.01 - 75,000 3,694.00 17.92 75,000.01 - 100,000 5,194.00 21.36 100,000.01 - 150,000 7,194.00 23.52 150,000.01 - 200,000 10,194.00 30.00 200,000.01 - 1,000,000 15,194.00 32.00 1,000,000.01 - 5,107,703.93 30,194.00 34.00 Above 5,107,703.93 1,601,862.46 35.00 Example. So you withdrew 14K USD from your IRA account. That's currently about 243K Pesos. So the Mexican tax on that would be 15,194.00 plus 32 percent of 43K pesos.
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