Being a natural person with business activity can be of great help when requesting financing in the case of small and medium-sized companies. But, what does being part of this regime consist of and what are its advantages? This will be elaborated on below.
As we know, the Tax Administration System (SAT) considers two types of taxpayers, that is, individuals or legal entities. The first of these categories includes salaried or independent workers, while companies, organizations and groups that work with a common goal belong to the second.
However, natural persons may belong to a certain tax regime depending on their productive activity and the estimate of their monthly and annual income.
As explained on the SAT website, based on these criteria, there are different tax regimes in which it is possible to register and which entail different obligations and rights.
Some of them are:
- Simplified Trust Regime
- Wages and salaries and income assimilated to salaries
- Regime of Business and Professional Activities
- Fiscal Incorporation Regime
- Disposal of assets
- Lease Regime
On this occasion, the Regime of Physical Person with Business Activity will be studied in more depth, to which taxpayers with income derived from industrial activities (construction, mining, pharmaceutical, textile, etc.), commercial activities (cafeterias, restaurants or educational institutions, etc.) .) or people who offer professional services, such as accountants, doctors or lawyers, among others.
Learn about the importance of the tax regime in financing for SMEs
Registration for the Physical Person with Business Activity regime is useful for undertaking, particularly when looking for financing for SMEs, either in a traditional banking institution or in an online loan application.
In relation to the above, it is estimated that 40% of taxpayers in Mexico correspond to individuals, and an important part of this percentage corresponds to the Individual with Business Activity regime, especially due to the large number of activities that can be covered. .
For the above, it is necessary to register with the SAT, obtain an RFC and an e.firma that allows generating tax receipts.
Advantages of the Natural Person Regime with Business Activity when undertaking
Among the advantages of belonging to this regime, the following stand out:
- Decisions relating to the business can be made directly.
- Allows you to better manage operational costs.
- Facilitates access to online financing or other sources of financing.
- Administrative management can be more centralized.
In turn, these benefits entail some tax obligations, such as:
- Be registered with the RFC and keep this status and tax data updated.
- Submit monthly, annual and informative statements with third parties.
- Apply the ISR withholding to the payment of workers’ salaries.
- In the Annual Declaration, it will be necessary to calculate the participation of the personnel in the profits of the business (if any).
At Pymes Capital we offer small and medium-sized companies in Mexico customized financing alternatives that will allow them to grow and progress in their operations.
Our application process is fast, easy and with a high approval rate. Contact us or apply online and take your entrepreneurship projects to the next level.