Business
Mexico — Business: Sole Proprietorship
A Persona Física con Actividad Empresarial is Mexico's sole proprietorship equivalent — an individual conducting business under their personal identity, fully personally liable for operations. Applicants must be 16+, hold a valid CURP, and provide proof of address and official ID; foreign nationals also need a valid visa or naturalization letter. After online registration, an in-person appointment at a local SAT office finalizes registration. Depending on income, filers can choose the general business regime (612) — for commercial, industrial, or professional-service income — or RESICO (626), a simplified regime with notably low tax rates for lower-income filers. All sole proprietors must issue a CFDI (digital invoice) for every sale/service and file monthly provisional returns for both income tax and VAT.
Key facts
- Persona Física con Actividad Empresarial: full personal liability, no separate legal entity.
- Eligibility: 16+ years old, valid CURP, proof of address, official ID (foreigners also need a valid visa/naturalization letter).
- Tax regime choice: general regime (612) or RESICO (626, simplified, lower rates for lower-income filers).
- Mandatory CFDI issuance for every sale/service, plus monthly provisional income tax and VAT filings.
Steps
- Register online with SAT — Provide CURP, proof of address, and ID.
- Complete in-person SAT office appointment — Finalizes registration.
- Choose a tax regime — General (612) or RESICO (626) depending on income level and activity type.
- Issue CFDIs and file monthly returns — Mandatory for every sale/service, plus monthly income tax and VAT filings.
Required documents
- CURP
- Proof of address
- Official ID
- Visa or naturalization letter (foreign nationals)
Common mistakes
- Not choosing RESICO when eligible — it offers notably lower tax rates for qualifying lower-income filers versus the general regime.