# Collect tax in Latin America and the Caribbean

Learn how to collect tax in a country in Latin America and the Caribbean.

In Latin America and the Caribbean, Stripe supports tax calculation for businesses making sales into a range of countries. The requirements for tax registration, as well as which types of transactions are included, vary from country to country.

For each country listed, you can find information about:

- The types of tax Stripe can help you collect.

- The registration threshold that determines when you’re required to register for tax collection.

- What kinds of products or sales are subject to tax calculation.

- The types of transactions covered.

- Resources about how to register with local tax authorities.

In this region, your business needs to be a remote seller with no physical presence (such as a shop or warehouse) to collect tax on Stripe. The only exception to this rule is if your business is in Mexico, where full support is available.

- **Supported product type**

  [All PTCs](https://docs.stripe.com/tax/tax-codes.md)

- **Your business location**
✓ Supported
- **Your customer location**
✓ Supported
- **Tax type**

  VAT

- **Official resources**

  [Tax Administration Services](https://www.sat.gob.mx/portal/public/home)

- **Status**

  - None No transactions

- **Transactions included in [obligations monitoring](https://docs.stripe.com/tax/monitoring.md)**

  Any taxable transaction

- **Registration threshold**

  1 transaction

- 

## Threshold and registration for Mexico 

Remote sellers providing digital goods or electronically supplied services (digital products) to Mexican customers must register for VAT purposes within 30 days of the first sale to a customer located in Mexico. There are no registration thresholds or simplified registration procedures. Non-residents must appoint a legal representative and establish a tax domicile in Mexico.

## Supported calculations for Mexico 

When both your business and your customer are in Mexico, Stripe calculates Mexican VAT unless the sale is exempt or zero-rated. If you’re a remote seller registered for VAT in Mexico and providing services to customers located in Mexico, Mexican VAT is typically collected on sales to both individuals and business customers. If you have a simplified registration in Mexico as a non-resident seller, only digital goods or electronically supplied services (digital products) product tax codes can be used for tax collection. If you provide services related to admission to events and other venues, Stripe Tax considers them taxable in the country where the venue or event is located.

In Mexico, certain territories fall outside the standard tax system and might have different tax rules. Stripe Tax doesn’t support the reduced VAT rates that apply in the Northern or Southern Border Region of Mexico.

### Cross-border sales of goods to Mexico 

When goods are shipped into Mexico from abroad, Stripe treats the sale as an export and doesn’t calculate tax, unless you choose to calculate tax on cross-border sales of goods into Mexico through the [tax registration settings](https://dashboard.stripe.com/tax/registrations). Generally, businesses need to collect tax on these sales if they act as the importer for customs purposes. If goods are imported in the customer’s name, the sale is considered to occur outside Mexico, and no Mexican VAT is due. Cross-border sales of goods into Mexico might also be subject to import taxes and customs duties in Mexico, which Stripe doesn’t calculate.

## See also

- [Set up Stripe Tax](https://docs.stripe.com/tax/set-up.md)
- [Register for sales tax, VAT, and GST](https://docs.stripe.com/tax/registering.md)
- [Use Stripe to register](https://docs.stripe.com/tax/use-stripe-to-register.md)