As part of our work with international companies in Mexico, we have encountered situations that can be discouraging. However, we have persevered thanks to the expertise of our lawyers and accountants, with whom we have built strong relationships after overcoming financial, tax, and legal challenges. We know that many companies go through similar experiences and navigate the same paths to achieve stability; however, many fail due to poor management or a lack of ethics on the part of some officials or lawyers.
SARAM HR has nearly 9 years of experience as a company in Mexico, and in light of these challenges, we have decided to offer our services as a Legal and Accounting office for companies starting their journey in this country.
“We innovate in Human Resources.”
We stand out as part of a group of accountants and advisors specializing in tax advisory, business accounting, management, taxation, financial tax auditing, payroll, electronic invoicing, payroll stamping, electronic accounting, internal control, and more. The talent and experience of the associated specialists at SARAM HR provide you with personalized service, ensuring direct communication with each of our clients to best meet their specific needs.
Compliance is a set of principles and best practices aimed at ensuring that companies know who they are doing business with and operate according to the applicable laws, regulations, standards, and ethical practices in Mexico. At SARAM HR, we can guarantee compliance with your company’s legal obligations without increasing operational costs while maintaining an excellent user experience. There are various types of compliance that companies must observe to ensure respect for the law and the interests of all parties involved, the most relevant being:
Adhering to the laws and regulations established by the Mexican government regarding compliance with tax regulations that require precise management of taxes and declarations in various areas, such as taxation, labor rights, environmental regulations, commercial laws, among others.
Regulations and provisions related to financial management and anti-money laundering. Companies must strictly adhere to Mexican tax laws, which include timely declaration and payment of taxes such as Income Tax (ISR) and Value Added Tax (IVA). Maintaining clear and accurate accounting records is essential for compliance with audits and reviews by tax authorities. This involves proper management of accounting books, invoices, and other financial documents.
Companies must comply with the Federal Labor Law, which regulates aspects such as wages, working hours, safety and hygiene conditions, and maternity and paternity rights. The rules on hiring and terminating employment relationships must be followed carefully to avoid legal conflicts or labor lawsuits.
This law imposes on companies the responsibility of protecting the personal data of employees, customers, and suppliers. It involves obtaining clear consent for the collection and use of data and ensuring its security and confidentiality.
Prevention and sanctioning of acts of corruption in both the public and private sectors. In Mexico, the General Law on Administrative Responsibilities and other regulations related to corruption require companies to implement measures to prevent, detect, and sanction acts of corruption and bribery. Companies must also develop and enforce internal policies to prevent fraud and corruption, including codes of conduct, reporting procedures, and training programs.
Legal compliance encompasses aspects such as labor laws and competition laws, which seek to ensure a level playing field in the market, adhering to antitrust laws and promoting free competition.
For companies involved in international trade, it is crucial to comply with customs regulations, including correct tariff classifications, payment of import/export duties, and compliance with trade treaties.
Companies must comply with Mexican environmental legislation, which includes regulations on emissions, discharges, waste management, and resource conservation. Compliance in these areas not only avoids penalties and fines but also contributes to building a strong and trustworthy business reputation. Mexican companies that adopt a proactive approach to compliance reinforce their integrity, foster trust among stakeholders, and position themselves for sustainable success in the market.
Currently, regulation is carried out through various laws, decrees, and agreements from the Federal Executive, as well as the articles of incorporation, bylaws, and regulations that specifically govern each public company.
The main law your company should consider is the Federal Law for the Prevention and Identification of Operations with Illicitly Obtained Resources, enacted on October 17, 2012. This law establishes the obligations of financial entities and other companies regarding customer identification and verification, as well as the detection and reporting of suspicious operations. To enforce this law, mechanisms have been established for the prevention and detection of financial operations that may be related to money laundering or even terrorist financing.
Companies must identify their clients and users, meaning any individual or legal entity, as well as trusts engaging in acts or operations with those involved in suspicious activities. Institutions must rely on credentials and official documentation that verifies the client's identity, keeping copies of the verified documentation, compared to the original, so the authenticity of the retained copies can be confirmed. The documentation requested varies depending on whether it involves a physical or legal entity.
One of the bases of this law is to always keep clients identifiable by the obligated entities, such as banks and exchange houses, among others. If the identification documents present any alterations or modifications, the obligated entities may request bank or commercial references, as well as personal references that include full names, addresses, and available phone numbers. These entities are also required to conduct at least one client review annually if they are based in Mexico.
Enacted on July 5, 2010, this law regulates the treatment of personal data by private parties, ensuring the privacy and protection of information. It establishes obligations for data controllers and rights for data subjects, promoting trust and security in the handling of personal information.
Enacted on May 23, 1992, and updated in 2014, this law promotes and protects competition in the Mexican market, preventing monopolistic practices and fostering free competition. The Federal Economic Competition Commission (COFECE) is responsible for monitoring and ensuring the application of this law.
Regulatory compliance offers multiple benefits to companies that implement it effectively; it prevents penalties, fines, or legal disputes that could negatively impact the company’s reputation and financial stability; it demonstrates the ethical and transparent commitment of the company, strengthening its reputation among clients, investors, and business partners; it facilitates access to international markets and new business partners who require companies to comply with certain regulations and guidelines; it ensures the protection of sensitive data or information, both of the company and its clients, reducing the risk of security breaches and data leaks.
SARAM HR is a company specialized in compliance solutions that will provide you with the tools and services you need to transform the compliance sector into an asset in your favor. Among the benefits of having a comprehensive compliance program with SARAM HR are:
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