On October 29, the Congress of the Union approved a modification to the Income Law that establishes that insurers will not be able to credit VAT starting in 2026. This put an end to years of litigation with different insurers over the collection of VAT, including Quálitas.
The 2026 Economic Package establishes a transitional article that eliminates possible tax contingencies related to years prior to 2024.
This includes the conclusion of any ongoing administrative or litigation process on this matter eliminating any potential risk or impact up to this date. In this way, insurers must make a correction for the year 2025, recognizing the VAT paid to claims providers as non-creditable.
“Quálitas, supported by its Board of Directors, decided to adhere to this provision, considering that its implementation will allow the closure of a multi-year process and provides certainty to the Company, its shareholders and other interest groups,” he added.
Quálitas is the largest company in the auto insurance field with more than 6.1 million insured cars in Mexico, the United States, El Salvador, Costa Rica, Colombia and Peru. Mexico represents more than 70% of the units.
