Mexico Income Tax Calculator 2026
Calculate your exact net salary in Mexico after ISR (Impuesto sobre la Renta) — Personas Físicas and social security. All 10 tax brackets. Updated Q1 2026.
Your employer pays an additional $14,000 (28.0% of gross). Total employment cost = $64,000.
How income tax works in Mexico
Income tax in Mexico is administered by the Servicio de Administración Tributaria (SAT) under ISR (Impuesto sobre la Renta) — Personas Físicas. IMSS: employee ~2%, employer ~28%. No state income taxes. Brackets in MXN.
Mexico uses a progressive schedule of 10 brackets: each slice of income is taxed at the rate of the band it falls in — not your highest rate applied to the whole salary. Social security (1.8% of gross) is deducted first; income tax is then applied to the remainder band-by-band.
Mexico pays salaries across 12 monthly instalments.
Key tax dates in Mexico
| Event | Date / Note |
|---|---|
| Tax year start | 1 January |
| Tax year end | 31 December |
| Filing deadline | 30 April (declaración anual) |
| Withholding regime | ISR (Impuesto sobre la Renta) — Personas Físicas |
Deductions and allowances
- ·Medical/dental/hospital expenses (with RFC invoice)
- ·Mortgage interest (registered loans)
- ·Voluntary pension
- ·Tuition fees (per SEP)
- ·Charitable donations (up to 7%)
IMSS: employee ~2%, employer ~28%. No state income taxes. Brackets in MXN.
Special tax regimes
No general expat flat-rate regime. Temporary residents taxed on Mexico-source income only if under 183 days.
Read full guide →All 10 brackets for 2026
| # | Income Range ($) | Marginal | Effective at Top |
|---|---|---|---|
| 01 | $0 — $8,952 | 1.9% | 3.6% |
| 02 | $8,952 — $75,984 | 6.4% | 7.5% |
| 03 | $75,984 — $133,536 | 10.8% | 9.6% |
| 04 | $133,536 — $155,232 | 16% | 10.6% |
| 05 | $155,232 — $185,852 | 17.6% | 12.0% |
| 06 | $185,852 — $374,838 | 21.9% | 17.6% |
| 07 | $374,838 — $590,796 | 28.2% | 21.9% |
| 08 | $590,796 — $1,127,926 | 30% | 26.3% |
| 09 | $1,127,926 — $1,503,902 | 32% | 28.0% |
| 10 | $1,503,902 — ∞ | 35% | — |
Source · Servicio de Administración Tributaria (SAT) · Data updated Q1 2026
Frequently asked
What is the income tax rate in Mexico?+
Mexico applies progressive ISR (Impuesto sobre la Renta) — Personas Físicas rates from 1.9% on the lowest band up to 35.0% on the highest, across 10 brackets in 2026.
How much social security do you pay in Mexico?+
Employees pay 1.8% of gross salary as social security. IMSS: employee ~2%, employer ~28%. No state income taxes. Brackets in MXN.
What is the ISR (Impuesto sobre la Renta) — Personas Físicas personal allowance in Mexico?+
The main allowances are: Medical/dental/hospital expenses (with RFC invoice); Mortgage interest (registered loans). See §03 for the full list.
When do you file taxes in Mexico?+
The filing deadline in Mexico is 30 April (declaración anual). Tax year runs 1 January to 31 December.
How much take-home pay on $150,000 gross in Mexico?+
On a $150,000 gross salary the effective rate is 10.3%, leaving approximately $134,485 net per year — about $11,207 per month across 12 payments. (For reference: $50,000 gross nets $46,384.)
Does Mexico have any special tax regimes for expats?+
No general expat flat-rate regime. Temporary residents taxed on Mexico-source income only if under 183 days.
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