Higher tax rates for the rich are only half the story; there are new taxes on sugary soft drinks, chocolate and junk food, dividends, mining, and an increase in the value-added tax to 16% from 11% in border areas,,
The Senate also ratified a new 7.5% tax on mining companies’ earnings before interest, taxes, depreciation and amortization—and an additional 0.5% charge on sales of gold, silver and platinum.
What the Mexican Senate has done is to essentially raise taxes on everybody.
The Mexican Ministry of Finance had lowered its economic growth projection for 2013 to 1.8% earlier this year.
In a country where tax avoidance is rife, adding inflationary measures like taxes on consumer items and higher VAT while at the same time punishing the mining industry does not bode well for growth.
Luckily for you, gentle reader, you can buy your Mexican chocolate through these Amazon links,
Go ahead. You know you want to.