Property Taxes in Mazatlan, Mexico

 

 

What is Predial?

Property taxes in Mexico are known as “Predial” and the amounts are almost insignificant when compared to Real Estate taxes in other countries including Canada and the United States. The annual Predial is a contribution from citizens who own a home regardless if they live in it, have it rented out or use it as a business location.

How much are the annual taxes?

The decided amount of the annual tax of a property depends on the homes worth which includes location, other infrastructure in the area, the actual construction and condition of the home along with the square footage.  Although the exact amount varies by state, the annual tax on property in Mexico is generally around 0.1% of the total value of the property. Therefore, for a $200,000 USD home or condo the annual property tax would be around $200 USD!

How do I go about paying them?

The Predial is due annually around January and February and is relatively quick and easy. You must go to the tax office with a past paid Predial to pick up your new Predial since they do not actually send you a bill until you are late. Once you have your Predial you can pay it at a bank of your choice, online or at one of the many temporary tax booths that are set up around town during this time. However, if it is your first year paying your Predial you must go to city hall to make your payment. It is very important to hold on to your receipts as a proof of payment in case you ever decide to sell your property or if you ever need to prove that you do not owe anything to town council.

Are there any discounts available?

Yes! Your tax bill can be reduced if you make a point of paying before it is due (the beginning of January) as long as you bring your fidecomiso and an electric bill with you. The discount/reduction  can be as much as 50%.