BajaNomad - Todos Santos targeted for illegal workers

Todos Santos targeted for illegal workers

bajajudy - 7-25-2009 at 08:47 AM

Desplazan trabajadores extranjeros a locales
El Sudcaliforniano
25 de julio de 2009

Miguel Rubio

La Paz, Baja California Sur.- Extranjeros, principalmente de los Estados Unidos y Canadá, están desplazando a trabajadores locales de Todos Santos en las diversas labores, particularmente del ramo de la construcción, según dio a conocer a El Sudcaliforniano el señor Hilario Agúndez León, quien pide la intervención de las autoridades de Migración para terminar con esta situación.

Asimismo, ante este medio, Agúndez León expuso que es necesario que Migración revise en qué situación se encuentran los extranjeros en Todos Santos, es decir, si en calidad de turistas o si gozan de permisos para trabajar en nuestro país.

Al acudir el día de ayer a esta redacción, con el fin de dar a conocer lo anterior, Hilario Agúndez, residente de Todos Santos, municipio de La Paz, explicó que norteamericanos y canadienses desempeñan específicamente trabajos de plomería, pintura y albañilería. Incluso, algunos, dijo, se encargan de cuidar, mediante paga, propiedades de otros extranjeros cuando salen de la localidad, lo cual a los pobladores de Todos Santos no nos parece correcto, indicó.

Reitero que es necesario y conveniente que las autoridades de Migración tomen cartas en este asunto, investiguen en qué calidad se encuentran los extranjeros en Baja California Sur y si tienen permiso para trabajar aquí.

Mientras tanto, es claro que los extranjeros nos están desplazando de las oportunidades de trabajo, denunció.

This basically says that foreigners working, mainly in construction but also as house sitters, better have permission to work

Pescador - 7-25-2009 at 08:53 AM

That is not very reciprocal.

You have to work as a house SITTER ???

beercan - 7-25-2009 at 09:06 AM

Quote:

by Judy
working, mainly in construction but also as house sitters, better have permission to work

DianaT - 7-25-2009 at 09:15 AM

Quote:

Originally posted by beercan

Quote:

by Judy
working, mainly in construction but also as house sitters, better have permission to work

In the US, any time housing is provided, it is considered payment and subject to taxes etc., like with an apartment manager who has a free apartment.

I suppose technically, the free use of a house in exchange for providing security, watering plants, etc., would be considered a part of wages----doubt anyone has ever paid income taxes on this, however.

Sounds like maybe it is similar under Mexican labor laws----?

Good information, Judy----interesting article.

DENNIS - 7-25-2009 at 09:38 AM

Maybe T.S. should have the government build a fence. A big gate as well. Then they can require the Mexicans to show a passport to go there.

CaboRon - 7-25-2009 at 10:54 AM

Quote:

Originally posted by DENNIS
Maybe T.S. should have the government build a fence. A big gate as well. Then they can require the Mexicans to show a passport to go there.

Excellent idea Dennis ... except for the ones that make the great carnitas at Barahaus :bounce:

DENNIS - 7-25-2009 at 11:14 AM

Quote:

Originally posted by CaboRon

Excellent idea Dennis ... except for the ones that make the great carnitas at Barahaus :bounce:

Citizens of the world. :tumble:

bajalou - 7-25-2009 at 11:58 AM

Some people get paid to house sit in Mexico.

DianaT - 7-25-2009 at 12:06 PM

Property management or house sitting, and my translation skills are only a wee bit better than my speaking skills and they are AWFUL, it sounds like they are serious---wonder how wide spread this will end up being.

Seems like in any area where there are ex-pats, there are the ones who are working "illegally".

Hope this is not a hijack. Curious, for those who know the Mexican labor laws fairly well, I have read that while ex-pats can work on the construction and maintenance of their own home, that technically, it is against the labor law for them to help others even for no pay?

Thanks

[Edited on 7-25-2009 by jdtrotter]

bajajudy - 7-25-2009 at 12:07 PM

Kate
House sitting may have been a poor choice of words. Strangers who take care of other strangers property when they leave would have been better!

And how would one prove that?

Dave - 7-25-2009 at 12:20 PM

Quote:

Originally posted by bajalou
Some people get paid to house sit in Mexico.

LB - 7-25-2009 at 12:27 PM

According to an attorney giving a non-profit group an update on the laws and things to come speech...Todos Santos will not be the only town, other small gringo towns will be getting a visit also. People renting their homes with out
paying taxes are also targeted.

Sharksbaja - 7-25-2009 at 12:31 PM

Yeah, and don't be helping out during a disaster or crisis either. Oh, the ol double standard at work.

Cypress - 7-25-2009 at 12:32 PM

:?:

WTF? There's no way to make sense out of nonsense. :spingrin:

DianaT - 7-25-2009 at 12:51 PM

Quote:

Originally posted by LB
According to an attorney giving a non-profit group an update on the laws and things to come speech...Todos Santos will not be the only town, other small gringo towns will be getting a visit also. People renting their homes with out
paying taxes are also targeted.

Thanks---another good reason not to rent out our home---not that we want to.

Russ - 7-25-2009 at 12:54 PM

Here's the take on "house sitting" as we understand it here in Punta Chivato. It is illegal for a tourist to take care of someone else's home/property. How ever you can have your FM-2 or 3 stamped with permission to do specific chores / work. I was under the impression that "inmigrado" status allowed you to work unrestricted. Not true according to the migra in Santa Rosalia. You still need permission. So you need the equivalent of a "green card" but with very specific permission. Oh, It pretty easy to figure out. If it's not the owner staying there they can say they're house sitting or renting in which case the owner is doing the "no no". Jeezs, some one make it easy to have a peaceful life here. :?:

DianaT - 7-25-2009 at 01:09 PM

Quote:

Originally posted by Russ
Here's the take on "house sitting" as we understand it here in Punta Chivato. It is illegal for a tourist to take care of someone else's home/property. How ever you can have your FM-2 or 3 stamped with permission to do specific chores / work. I was under the impression that "inmigrado" status allowed you to work unrestricted. Not true according to the migra in Santa Rosalia. You still need permission. So you need the equivalent of a "green card" but with very specific permission. Oh, It pretty easy to figure out. If it's not the owner staying there they can say they're house sitting or renting in which case the owner is doing the "no no". Jeezs, some one make it easy to have a peaceful life here. :?:

And recently someone said that Baja was a good place to go to get away from all the restrictive laws--- :lol:

We don't use house-sitters, but we have offered the use of our home to a few friends when we are not there---they have not taken us up on our offer as of yet, but I guess that too could be classified as house-sitting.

What about people who own as a corporation, rent their house out so I assume they are paying taxes, but also use it as their second home??? Any clarity on that one? :lol:

Cypress - 7-25-2009 at 01:26 PM

Jeez! You've got to get "lawyer'd up" to allow friends to spend some time at your casa? Is that getting picky or what? :biggrin:

DENNIS - 7-25-2009 at 01:33 PM

From now on, if you need a house-sitter, you'll have to go down to Home Depot and get her off the corner. Give her the keys and a credit card. Everything will be allright.
Oh yeah....Don't forget to pay her social security and Christmas bonus not to mention the crippling she got when she fell off your ladder.

Who let the government predators out of their cage?

JESSE - 7-25-2009 at 01:37 PM

There are many foreigners who own property here that are renting their homes and condos and not paying taxes. Most do it as a business and don´t care about the local economy, and i think they should.

Fortunately the INM and SHCP is now investigating many of these lowlifes.

DianaT - 7-25-2009 at 01:59 PM

Quote:

Originally posted by JESSE
There are many foreigners who own property here that are renting their homes and condos and not paying taxes. Most do it as a business and don´t care about the local economy, and i think they should.

Fortunately the INM and SHCP is now investigating many of these lowlifes.

I agree, if they are using their property as a business and renting it out, paying taxes on the income is fair---we pay taxes on our rentals in the US.

But, if they own the home or condo with a bank trust, isn't it illegal to rent it out?

CaboRon - 7-25-2009 at 02:21 PM

Quote:

Originally posted by morgaine7

Quote:

Originally posted by LB
People renting their homes with out
paying taxes are also targeted.

Apparently this is already happening in Mazatlan.

Kate

When I was renting in Todos Santos the property managers placed an additional 10% rental tax on the bill each month.

arrowhead - 7-25-2009 at 02:36 PM

A view from the other side:

http://www.azcentral.com/news/articles/2009/07/21/20090721sh...

arrowhead - 7-25-2009 at 02:40 PM

Quote:

Originally posted by jdtrotter
But, if they own the home or condo with a bank trust, isn't it illegal to rent it out?

Not illegal, but you have to register with Hacienda and pay your taxes and file tax returns. That is why migracion is asking people who renew their FM3/FM2's for a copy of their lease and their landlord's ID. They are crosschecking with Hacienda for tax dodgers who rent houses.

It also explains why so many gringos only want to rent their beach condos/houses on a shortterm basis to vacationers. It keeps them under the radar.

[Edited on 7-25-2009 by arrowhead]

JESSE - 7-25-2009 at 02:55 PM

Quote:

Originally posted by CaboRon

Quote:

Originally posted by morgaine7

Quote:

Originally posted by LB
People renting their homes with out
paying taxes are also targeted.

Apparently this is already happening in Mazatlan.

Kate

When I was renting in Todos Santos the property managers placed an additional 10% rental tax on the bill each month.

Did they give you a factura? if not, they where pocketing the 10%.

CaboRon - 7-25-2009 at 05:23 PM

Quote:

Originally posted by JESSE

Quote:

Originally posted by CaboRon

Quote:

Originally posted by morgaine7

Quote:

Originally posted by LB
People renting their homes with out
paying taxes are also targeted.

Apparently this is already happening in Mazatlan.

Kate

When I was renting in Todos Santos the property managers placed an additional 10% rental tax on the bill each month.

Did they give you a factura? if not, they where pocketing the 10%.

I don't know what a factura is .... is it a receipt ?

DENNIS - 7-25-2009 at 05:41 PM

Quote:

Originally posted by CaboRon
]

I don't know what a factura is .... is it a receipt ?

Yeah Ron...A factura is a receipt from a transaction with a buisness registered with Hacienda. I think it's mandatory that such businesses give one to a customer.

CaboRon - 7-25-2009 at 05:54 PM

Quote:

Originally posted by DENNIS

Quote:

Originally posted by CaboRon
]

I don't know what a factura is .... is it a receipt ?

Yeah Ron...A factura is a receipt from a transaction with a buisness registered with Hacienda. I think it's mandatory that such businesses give one to a customer.

I wrote my own receipt, because I wanted something on paper.

irenemm - 7-25-2009 at 07:05 PM

a factura can only be given to someone who has an RFC or a tax id # with the mexcian govt.
if you have no RFC then you can only get a nota. which is not legal for business.
i rent places in hawaii and they charge taxes. most of these laws have been on the books but now they are starting to enforce them. when you stay at my place we include the tax. but if your making money it is fair to pay your way. property taxes are not very much. we have about 40 acres it is commerical and part of it is working and our annual property tax is about 1300. dollar a year. not much. no prop 13 here.
the taxes you collect is not your anyway. i think the taxes will be 10% plus 2% as that is for lodging. at least in the north maybe the south is 15 plus 2%

Acuity - 7-25-2009 at 07:59 PM

There are many ex-pats offering their services in TS as housesitters, massage therapists, hairdressers, handymen, mechanics ... you name it... who do not all appear to have working papers - and perhaps may not pay taxes either. Quien sabe? I doubt they would appreciate the same thing happening in reverse in their hometown, but for some reason it is seen to be "OK" to do it in Mexico. Why the double standard?

toneart - 7-25-2009 at 08:06 PM

They are tightening up all over. If we musicians want to play in public, we can't do it for money. We have to do the gig as a fundraiser and then get receipts when we hand over the money. Before we even play the gig we have to get permission from immigracion in Santa Rosalia. Then, after we play, we need to go back up there and show them the receipts. I don't mind. I think it is the right thing to do, especially since we raise so much money for good causes. :cool:

CaboRon - 7-25-2009 at 08:38 PM

Quote:

Originally posted by Acuity
There are many ex-pats offering their services in TS as housesitters, massage therapists, hairdressers, handymen, mechanics ... you name it... who do not all appear to have working papers - and perhaps may not pay taxes either. Quien sabe? I doubt they would appreciate the same thing happening in reverse in their hometown, but for some reason it is seen to be "OK" to do it in Mexico. Why the double standard?

While living in Todos Santos I sometimes felt like a chump because I went through the FM3 process .....

I met many, many gringos who lived there with only an FMT or no papers at all. Many of these people were working.

I met teachers at the Yoga Institute in Pescadero who were working with only an FMT. When I asked them if their employer had gotten the work endorsement they didn't know what I was referring to.

I only met one performer who had actually joined the musicians union and paid their taxes. Many others performed on a regular basis for hire and for so called benefits.

Lots of workshops and services offered in the Baja Western Onion were people without working papers.

This announcement appeared in today's BWO ...

The Sudcaliforniano
25 July 2009
Miguel Rubio

La Paz, Baja California Sur .- Foreigners, mainly from the United States and Canada, are displacing local workers in Todos Santos in various tasks, especially in the construction sector, as announced to The Sudcaliforniano by Mr Leon Hilario Agundez, who requested the intervention of immigration authorities to end this situation.

Also, in this regard, Mr. Agundez said that it is necessary to check the immigration status of foreigners in Todos Santos, that is, whether they are tourists or if they have permission to work in our country. To go yesterday to the wording in order to publicize this, Mr. Agundez, a resident of Todos Santos, Municipality of La Paz, explained that North Americans and Canadians specifically perform plumbing, painting and masonry work. Also, some said, some are paid to care for the property of other foreigners when they leave town, which to the residents of Todos Santos does not seem right, he said.

He reiterated that it is necessary and appropriate that the immigration authorities take in this matter and investigate as to what foreigners in Baja California Sur have permission to work here. "Meanwhile, it is clear that foreigners are displacing us from job opportunities," he claimed. -

[Edited on 7-26-2009 by CaboRon]

JESSE - 7-25-2009 at 11:23 PM

Quote:

Originally posted by irenemm
a factura can only be given to someone who has an RFC or a tax id # with the mexcian govt.
if you have no RFC then you can only get a nota. which is not legal for business.
i rent places in hawaii and they charge taxes. most of these laws have been on the books but now they are starting to enforce them. when you stay at my place we include the tax. but if your making money it is fair to pay your way. property taxes are not very much. we have about 40 acres it is commerical and part of it is working and our annual property tax is about 1300. dollar a year. not much. no prop 13 here.
the taxes you collect is not your anyway. i think the taxes will be 10% plus 2% as that is for lodging. at least in the north maybe the south is 15 plus 2%

That is not correct, a factura can be given to someone who doesn´t have an RFC.

BCSTech - 7-31-2009 at 07:09 PM

Quote:

Originally posted by toneart
They are tightening up all over. If we musicians want to play in public, we can't do it for money. We have to do the gig as a fundraiser and then get receipts when we hand over the money. Before we even play the gig we have to get permission from immigracion in Santa Rosalia. Then, after we play, we need to go back up there and show them the receipts. I don't mind. I think it is the right thing to do, especially since we raise so much money for good causes. :cool:

Toneart, interesting. We were told by migracion to go talk to the Musician's Union in CSL or La Paz. They told us that, if the Musicians' Union said it was OK for us to play, then migracion would give us the authorization to do so.

Astonishing. Can you imagine US Immigration telling a Mexican musician that they just needed approval from a US musicians' Union to be authorized to work in the US??? :no:

BCSTech - 7-31-2009 at 07:47 PM

If you're getting paid for it, it's work.

or, if you're displacing a Mexican who could conceivably get paid for for what you're doing for free, it's work.

[Edited on 8-1-2009 by BCSTech]

Dave - 7-31-2009 at 09:00 PM

Quote:

Originally posted by lencho

Quote:

Originally posted by JESSE

Quote:

Originally posted by irenemm
a factura can only be given to someone who has an RFC or a tax id # with the mexcian govt.

That is not correct, a factura can be given to someone who doesn´t have an RFC.

Hmm, never thought about that. I'm always asked for an RFC when I request a factura, not sure what the reason is for including that info. Also didn't realize I could have one issued without the customer RFC.

Does Hacienda cross-check that information somehow? Do you as vendor have to turn in copies including the customer's RFC?

--Larry

I won't issue a factura without an RFC. Hacienda won't accept it and I can't use it as a deduction. Fact is, I can be fined for it. My facturas are specially printed, numbered, carbon copied and I have to account for every single one. They are print date sensitive and I need to account for unused copies when I reprint. I used to be able to leave domicile and RFC# blank...Not anymore.

Maybe things are different down there.

Dave - 7-31-2009 at 09:10 PM

Quote:

Originally posted by BCSTech
Astonishing. Can you imagine US Immigration telling a Mexican musician that they just needed approval from a US musicians' Union to be authorized to work in the US??? :no:

Regardless, Mexican or U.S. citizen you couldn't work a States union gig without AFM approval. I've been a member for 40 years. Also have a union card from a TJ union. Costs 120 pesos per year.

CaboRon - 8-1-2009 at 11:10 AM

Quote:

Originally posted by BCSTech
If you're getting paid for it, it's work.

or, if you're displacing a Mexican who could conceivably get paid for for what you're doing for free, it's work.

[Edited on 8-1-2009 by BCSTech]

If you are playing for a benefit it is also considered work by mexican immigration.

karenintx - 8-1-2009 at 12:05 PM

About renting out your house or condo...I can share with you what the local Immirgation office in CSL told our HOA.

This was at one of our semi-annual HOA meetings and there was a surprise vist from them. Not only was this directed to the property rental business that rents several homeowners condos out but also to the indivduals that rent their condos out via the internet. All this was done in Spanish with our attorney translating. We do not rent our condo out but we still found the information very interesting.

We were told:

1. Yes, you can rent out your condo (or homes) however you have to have a FM-3 or FM-2. Also your FM-3 or 2 has to show you are in the rental business. You can not come into Mexico on a FMT. Reason they gave was "a FMT is for tourist and when you rent out your condo you are now conducting business in Mexico so you are not a tourist".

2. Your bank "Fidi" has to read your are doing business. It has to read " rental property business". We assume the bank will charge you to do this.

3. You have to get an RFC #, register with the Hacienda and start paying taxes to the bank.

All I can say there are still people renting and they did nothing to "get legal". Several other homeowners would love to see them "get legal" or stop renting.

[Edited on 8-1-2009 by karenintx]

LB - 8-1-2009 at 01:48 PM

Karennintx, did they suggest how you would go about letting them (IMS)know
about the illegal renters?

DENNIS - 8-1-2009 at 03:26 PM

Quote:

Originally posted by LB
Karennintx, did they suggest how you would go about letting them (IMS)know
about the illegal renters?

Being a snitch to your own kind is not cool. Dislike what they do if you are inclined to do that but, don't turn anybody in. Nobody on either side will admire that. Why would you even consider doing something like this?

karenintx - 8-1-2009 at 03:48 PM

Under no circumstance would we ever "snitch" on someone...nor do I appreciate anyone thinking or suggesting this. Others on this thread said they know people that rent out homes...did you suggest they "snitch"?

All I did was report what Immirgration told us and somehow I am being lectured to about "snitching". We figure if they (Immirgration) showed up once they will show up again AND probably already know what is going on so there is no reason for me to tell them anything.

I will not saying anything more...as it will not come across well.

[Edited on 8-1-2009 by karenintx]

DENNIS - 8-1-2009 at 04:05 PM

Quote:

Originally posted by karenintx
All I did was report what Immirgration told us and somehow I am being lecured to about "snitching".

I will not saying anything more...as it will not come across well.

Chill out there, Karen. My post wasn't a response to anything you said. Read back....when your done, go take a cold shower.

mtgoat666 - 8-1-2009 at 04:11 PM

Quote:

Originally posted by DENNIS

Quote:

Originally posted by LB
Karennintx, did they suggest how you would go about letting them (IMS)know
about the illegal renters?

Dennis, for what crimes is it OK to be a snitch? should you keep quiet about your neighbors tax evasion, bribery, breaking and entering, spouse abuse or murder?

inquiring minds want to know.

LB - 8-1-2009 at 04:11 PM

karen is innocent!! a simply question and all hells break lose

DENNIS - 8-1-2009 at 04:13 PM

Quote:

Originally posted by LB
karen is innocent!! a simply question and all hells break lose

Yeah...I know. I was talking to you. Are you as confused as she is?

shari - 8-1-2009 at 04:15 PM

this is an interesting topic and serves as a heads up to people renting illegally. It does bother me sometimes a bit when we jump through all the hoops, pay all the taxes, maintain a company etc. etc. to do business in baja and others just slide through illegally...not a real fair playing field but there is a need for rentals that gringos fill and perhaps not enough legal rentals...but like sr.goat alludes to...when is it OK to run an illegal business??

LB - 8-1-2009 at 04:22 PM

Dennis ...you are nasty!!!!!!!!!!!!!

mtgoat666 - 8-1-2009 at 04:23 PM

some people think it is OK to steal from the government, so they look the other way when they see tax evaders, black market businesses w/out licenses, squatters on govt land, poaching fish, animals and plants from govt land, and stealing on govt land. maybe there is no difference between tax evasion and breaking into a govt office building to steal a computer.

DENNIS - 8-1-2009 at 04:27 PM

Quote:

Originally posted by mtgoat666
Dennis, for what crimes is it OK to be a snitch?

I don't have a proper Christian list but, I'm sure it wouldn't include running to the authorities with information on your expat neighbor simply to ingratiate yourself with them, and that's all it is.
Why would any expat here even think it's moral to turn in one of his own who's activities will never involve him? This isn't drug dealing which has far reaching implications , nor is it a crime of high misdemeanor or felony. It's just a part of our world in action regardless of the effing letter of the law.

Would you want me to run to a cop every time you spit on a sidewalk? Would you want to live in a society that runs to the police every time someone violates a regulation?
This here or there isn't Natzee Germany but some people think the Hitlerian model has value.
I don't. Mind your own freakin business unless it,s important to life and limb.

You, Goat, agree with this...I know.

DENNIS - 8-1-2009 at 04:30 PM

Quote:

Originally posted by LB
Dennis ...you are nasty!!!!!!!!!!!!!

You ain't seen nothin' yet.

mtgoat666 - 8-1-2009 at 05:11 PM

Quote:

Originally posted by DENNIS
Being a snitch to your own kind is not cool.

Quote:

Originally posted by DENNIS
Why would any expat here even think it's moral to turn in one of his own

dennis,
what's all this about protecting ones "own?"
everybody has to live with their neighbors, but if your neighbors are crooks you really shouldn't protect them just because they are gringos/expats like you. your comment suggests it would be different if your neighbor was mexican????

DENNIS - 8-1-2009 at 05:33 PM

Quote:

Originally posted by mtgoat666
dennis,
what's all this about protecting ones "own?"
everybody has to live with their neighbors, but if your neighbors are crooks you really shouldn't protect them just because they are gringos/expats like you. your comment suggests it would be different if your neighbor was mexican????

Well, Goat...it's called Solidarity. Remember when Havel used it as a battle cry to inspire a successful revolution? Those folks stuck together and won. They didn't give each other up to the authorities for any reason.
Since then, Mexico adopted the binding sentiment to gather popular support for numerous causes and many were fruitful. Many weren't but, not for lack of the appeal for cohesiouvness. [sp? I'll look it up later]

A more important and verifiable meaning to me came from my time in the military. I won't even dwell on the importance of keeping things to oneself in that setting.

Another model of integrity, wrong or right, would be gangs. They don't spill the beans to authorities...not because their brains would look like a spilled bowl of refries if they did but, because they have solidarity. They, along with the military have what we as US expats should have as a sense of togetherness and loyalty. You don't burn your neighbor, your friend, even if you've never met him

It's a matter of honor. Sell out your friend, your neighbor, and you sell out your honor.

On the other hand, if you never had that, it won't make a difference to you and you won't have a clue as to what I'm saying.

DENNIS - 8-1-2009 at 05:36 PM

Quote:

Originally posted by mtgoat666
your comment suggests it would be different if your neighbor was mexican????

Ludicrous....deserves no reply.

mtgoat666 - 8-2-2009 at 06:56 AM

Quote:

Originally posted by DENNIS
Another model of integrity,... gangs. They don't spill the beans to authorities...not because their brains would look like a spilled bowl of refries if they did but, because they have solidarity. They, along with the military have what we as US expats should have as a sense of togetherness and loyalty. You don't burn your neighbor, your friend, even if you've never met him

using gangs to justify your looking the other way when your neighbors commit murder or tax evasion or operate a black market business without licenses.... :lol:

dennis, i imagine your condo homeowners association is a little like lord of the flies or N-zi germany

DianaT - 8-2-2009 at 10:50 AM

Quote:

Originally posted by karenintx
About renting out your house or condo...I can share with you what the local Immirgation office in CSL told our HOA.

This was at one of our semi-annual HOA meetings and there was a surprise vist from them. Not only was this directed to the property rental business that rents several homeowners condos out but also to the indivduals that rent their condos out via the internet. All this was done in Spanish with our attorney translating. We do not rent our condo out but we still found the information very interesting.

We were told:

1. Yes, you can rent out your condo (or homes) however you have to have a FM-3 or FM-2. Also your FM-3 or 2 has to show you are in the rental business. You can not come into Mexico on a FMT. Reason they gave was "a FMT is for tourist and when you rent out your condo you are now conducting business in Mexico so you are not a tourist".

2. Your bank "Fidi" has to read your are doing business. It has to read " rental property business". We assume the bank will charge you to do this.

3. You have to get an RFC #, register with the Hacienda and start paying taxes to the bank.

All I can say there are still people renting and they did nothing to "get legal". Several other homeowners would love to see them "get legal" or stop renting.

[Edited on 8-1-2009 by karenintx]

Excellent information for all---thanks!

Diane

Dave - 8-2-2009 at 11:07 AM

Quote:

Originally posted by DENNIS
Being a snitch to your own kind is not cool. Dislike what they do if you are inclined to do that but, don't turn anybody in. Nobody on either side will admire that. Why would you even consider doing something like this?

You've obviously not lived next to an absentee owner who rents his home to vacationers.

Most miserable two years of my life.

DENNIS - 8-2-2009 at 11:57 AM

Quote:

Originally posted by Dave

You've obviously not lived next to an absentee owner who rents his home to vacationers.

Most miserable two years of my life.

Did you turn in the landlord to the police for renting his property without a proper business license?

[Edited on 8-2-2009 by DENNIS]

No...

Dave - 8-2-2009 at 12:01 PM

Quote:

Originally posted by DENNIS
Did you turn in the landlord to the police for renting his property without a proper business license?

Not to the police.

DENNIS - 8-2-2009 at 12:06 PM

Quote:

Originally posted by Dave
Not to the police.

I didn't figure you would although there are some here who not only feel it's your prerogative to do that but, your obligation as well. You know...the purity of this world is in your hands.

Dave - 8-2-2009 at 12:32 PM

Quote:

Originally posted by DENNIS

I didn't figure you would

Had I thought it would have done any good, I would've.

Anyway, in this country you never call the police. It's liable to get you arrested.

flyfishinPam - 8-2-2009 at 01:36 PM

Contrabandcondos.com

underthetablerentals.com

dutyfreevacationrentals.com

taxcheatlandlords.net/vacationrentals.html

:lol:

flyfishinPam - 8-2-2009 at 01:42 PM

Dave you Can issue a factura to someone without an rfc. You put al publico or publico en general Where the information for the facturacion goes for those CASH sales made. You own a restaurant and do not know this? And hard to believe all the sales are made only to those with rfc's.

Dave - 8-2-2009 at 05:26 PM

Quote:

Originally posted by flyfishinPam
You own a restaurant and do not know this? And hard to believe all the sales are made only to those with rfc's.

I don't have a register capable of printing a factura. My seperate facturas require an address and RFC. Hacienda has refused to accept facturas that don't include this information. My accountant advises that I require an RFC. I listen to him.

Regarding all sales:

I issue a legal receipt that includes my RFC with every sale. I only issue facturas upon request.