In selling a timeshare in Mexico, does it make sense that I’d have to pay the Mexican government’s income tax to the escrow company BEFORE the proceeds of the sale can be sent to me? I know there have been many changes recently in Mexico’s tax laws.

Can you sell a timeshare in another country?

Timeshare properties are a way of having your vacation area available at your disposal and a way to make rental profits, as well. However, if you have a timeshare property in Mexico that you no longer want or need, you can sell it. Selling a timeshare in another country such as Mexico can be confusing if you don’t know the facts.

Are there taxes on timeshares in Baja California?

A week later, “Mr. Simon again phoned, and stated that a new law had just gone into effect in Baja California requiring the seller to pay a 16 percent tax — $9,800 — which needed to be sent at once.” This time, Carlos came to the office and we had the most interesting chat on a speakerphone with our “Mr. Simon,” and was legally recorded.

Do you have to pay sales tax in Mexico?

Here’s the hitch – the resale representative states that Mexican law requires the timeshare owner to pay the “sales tax or fee” in advance of the actual sale in order to complete the transaction. The resale company assures the timeshare owner that they will hold the fees in escrow or in a bank account until the transfer is completed.

Do you have to pay taxes when you sell a property in Mexico?

When you eventually come to sell your Mexican property, the buyer will pay most of the closing costs, but there are also selling costs and taxes you will need to account for. Taxes.

What to do with timeshares in Cancun Mexico?

Cancun timeshare vacations afford you the opportunity to connect with Mexico’s rich history through the mystical ruins of the Mayan civilization, the archeological sites in El Rey and El Templo del Alacran, (the Temple of the Scorpion), and the ancient cave paintings in Loltun in the Yucatecan caves.