Nov 17, 2012, 7:01 AM
agree 100%. ... i doute most expats w/fm3s are cheaters, proberly very few. i fail to see how a 6 month visa helps mexico. they can get $3000 pesos per person for a renewal (thats 5 yrs 15,000 plus pesos), the persons travel money will be spent here. there is something "else" going on, dont believe the govts story. cheenagringo should stay out of this.
I did not say that most expat FM3 holders are cheaters, I actually said that the actions of a few gringos often cause problems later for the rest of us. Consider: If you live around popular gringo areas, and know FM3 snowbirds who own homes, (especially in beach areas), it's common to hear from them that they rent their homes to other gringos while they are back NOB. In my limited 27 years of visiting and living in Yucatan, I've found stories from snow-bird gringos talking about their remodeled homes and rental income is very common.
If you ask these gringos how difficult it is to report that income to Hacienda, many reply that they have no problem with that: they simply do not report the rental income. I know at least 15 expat couples who rent their homes part-time, and do not report the income and do not pay taxes.
Consider expats who live in Mexico, either full or part-time. How many of them have cleaning ladies, gardeners, painters, mozos, et al?
Will the critics and doubters please tell us their honest estimates of how many (what %) of expats report their pay to household help to the Mex. Gob.? How many expats hire construction workers to do painting etc, tell them how to do the job, tell when they should show up for work, and give instructions to the painters et al during the job? All of these expats owe taxes to the Mex. Gob. on the $$ paid to workers that they direct on how to do the job and what aspect of the job to do next. How many of these expats pay the annual payments to the Mexican worker/social security dept. for all these workers? I would guess that less than 50% of expats pay to provide health care and (small) retirement benefits for their household help, painters, mozos et al? I know at least 20 expat couples who do not pay their taxes on this stuff.
How many expats personally do small jobs, little projects, or other work like repairing appliances or computers, sell arts and crafts, bake specialty breads, etc., and take cash payments without reporting them to el Gob.? I personally know at least 20 expats who do this.
The non-payment of taxes on rental income, the non-payment of taxes for payments to household or garden help and construction workers, and the non-payment of taxes on their personal miscellaneous income all adds up to significant total $$$ of cheating across all of Mexico.
Since these expats talk openly about their rentals, who is good household help, who paints well, or their latest arts and crafts or project, at regular gringo gatherings in restaurants, parties that include Mexican friends, and talk regularly with their Mexican neighbors, then Mexicans who hang out with expats, clearly know that many expats do not pay all their taxes.
Moving back to the issues of intentionally breaking rules, like planning to overstay a tourist permit:
All of these types of regular tax-dodging by expats makes it reasonable to expect that INM officials realize that many expats are not paying the taxes they owe, especially in areas popular with gringos.
I have not been privy to INM jefe meetings in DF on this issue, but having lived-with and worked-with govt. regulatory officials in the US for 4 decades, I'd say that this type of reasoning by Govt. jefes is common on both sides of the border.
This all makes the report believable that tax cheating by Canadians and Americans was one cause for INM to raise the income requirements for INM residency cards. Taken as a whole, these things also point to the benefits of encouraging tourists, visitors, snowbirds, and expats living here to all follow Mexico's laws and rules - since the rest of us do sometimes pay the consequences for the bad behaviors of the few.
I'm not scolding, I just don't like being gigged for something that other people did.
This stuff is pure self-interest. I just don't like it when a few people think it is OK to pee in the community pool, and I think it is worth taking some flack for asking people:
Please don't pee in our pool.
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