Mexico lawmakers to propose 35 pct top income tax rate -draft plan

October 17, 2013

MEXICO CITY, Oct 16 (Reuters) - Lawmakers in Mexico's lower House on Wednesday will propose changes to a tax overhaul plan sought by President Enrique Pena Nieto as a way to boost the country's low tax take, and will seek larger increases in tax rates for top earners, according to a draft obtained by Reuters.

Pena Nieto last month proposed a series of measures to raise Mexico's anemic tax revenues by around $35 billion by 2018, but is grappling with stiff political opposition and lobbying from business groups.

Lawmakers will propose raising the proposed top rate on a sliding scale to 35 percent for those who earn more than 3.0 million pesos ($233,100) a year, above the 32 percent top rate put forward by Pena Nieto, according to a draft of revisions to the tax plan.