In Mexico, the Servicio de Administración Tributaria (SAT) is the body responsible for tax collection. The main tax that would affect your gains is the Impuesto Sobre la Renta (ISR).
The two ways the SAT charges ISR:
- Progressive Rate (ingresos acumulables): Your salary, professional fees, rental income, or crypto gains would all be pooled at year-end. A progressive table ranging from 1.92% to 35% would apply to that pool. The more you earn, the higher the percentage you would pay.
- Definitive or Preferential Rates: The SAT grants 'discounts' or fixed rates to certain investments to encourage capital to stay in the country. For example, selling shares on the stock exchange would carry a fixed preferential rate of 10%.
⚠️ Important
The key concept: Your tax goal in Mexico would be to make the most of investments that carry preferential flat rates (10%) or are exempt, avoiding as far as possible having your investment gains pooled with your acumulables, where they could be taxed at up to 35%.