Standard & Poor's: Mexico has more room for tax reform

Mexico has room for further fiscal reform to improve its tax base because a bill passed by Congress last week still leaves it well behind countries with stronger revenues, credit ratings agency Standard & Poor's said.

Mexico's Congress approved a package of measures last week, including higher taxes for the rich and levies on junk food and stock market gains in a bid to increase the country's paltry tax take.

Before the tax reform was presented in September, senior officials in President Enrique Pena Nieto's Institutional Revolutionary Party said the aim was to boost revenues by 4 percent of gross domestic product.

Source: Reuters