Mexico drops sales tax to win business

Mexico is to suspend the sales tax on international conventions held there as of January next year in a bid to win more European business. The move is being hailed by secretary of tourism Leticia Navarro Ochoa as a key step in recognising the importance of the meetings market, currently worth $1.5bn (£1.1bn) annually. Mexico Tourism Board (MTB) regional director for the UK & Ireland Manuel Diaz-Cebrian claimed the removal of the 15% tax, covering items such as accommodation, transfers and catering, will make Mexico a more attractive proposition to UK buyers. “The abolition of the sales tax means that Mexico is better value than ever before,” he said. Last year the MTB spent almost $7m (£5m) in promoting its business tourism. The country’s C&I facilities have been boosted by the construction of two new convention centres, one in Mexico City and the other in Leon, capital of the central region of Guanajuato.

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