Mexico firmly opposes the U.S. proposal to impose an additional tax on remittance transfers, Sergio Gutierrez Luna, president of the Mexican Chamber of Deputies, said on Tuesday.
Mexican President Claudia Sheinbaum has announced that efforts by the Mexican government have led to an interim reduction in a proposed U.S. remittance tax, with the rate decreasing from 5 percent to 3.5 percent. She affirmed that while this decrease is a noteworthy step, work will continue to eliminate the proposed tax.
In an interview with the China Central Television (CCTV), Sergio Gutierrez said the Mexican government had sent a letter to U.S. legislators expressing rejection immediately after the U.S. proposed the remittance tax on May 12.
"Upon learning that the U.S. side plans to impose an additional tax of 5 percent on remittance transfers, we immediately expressed our opposition. President Sheinbaum took the lead in expressing her position, and I, as president of Chamber of Deputies, also took action on behalf of the chamber. We soon sent a letter to the speaker of the House of Representatives of the U.S. Congress," he said.
Sergio Gutierrez said the U.S. proposal is aimed at the Mexican people who already contribute significantly to the U.S. economy, with many of them having already paid taxes.
Remittances sent from the United States represent a vital source of income for millions of families in Mexico.
"We pointed out in the letter that the U.S. move will not only affect the Mexican economy, but more importantly, affect ordinary Mexican people. We always advocate putting the interests of the people first, helping the people as our responsibility and protecting the people as our mission. That is why we firmly expressed our opposition to the U.S. policy," said Sergio Gutierrez.
Mexico firmly opposes U.S. remittance tax proposal: Chamber of Deputies chief
