|A Protocol to the UK/Mexico Double Taxation|
Convention was signed on 23 April 2009
A protocol to the UK / Mexico Double Taxation between the UK and Mexico was signed in Mexico City on 23 April 2009 by Mexico's Finance Minister, Mr Agustin Carstens and HM Ambassador to Mexico, Mr Giles Paxman.
The Protocol updates the exchange of information Article of the Convention to bring it into line with current OECD standards and practice.
The Protocol also includes an assistance in collection Article to reflect the modern OECD approach and the UK's commitment as a signatory to the joint Council of Europe/OECD multi-lateral Convention on Mutual Administrative Assistance in Tax Matters.
There are also provisions relating to the taxation of dividends paid by property investment vehicles and to ensure that the new Mexican business tax is covered by the Convention.
The text of the Protocol will shortly be presented to Parliament for approval.
The Protocol will enter into force once both countries have completed their legislative procedures. It shall have effect for the exchange of information and the assistance in collection of taxes from the date of entry into force. It shall have effect for the new Mexican business tax from 1 January 2008.