Key Moments:
- Mexico’s 2026 Economic Package was officially submitted to the Congress of the Union by the Secretariat of Finance and Public Credit (SHCP).
- The package aims to sharply increase the ad valorem tax on remote betting from 30% to 50%.
- Additional tax hikes are proposed for sweetened drinks, tobacco, and digital video games featuring violent content.
Overview of the Economic Package
Mexico’s Secretariat of Finance and Public Credit (SHCP) has introduced the 2026 Economic Package to Congress. The proposal seeks to grow national income while also supporting welfare, health, education, and housing. At the same time, it is designed to stimulate the economy through greater public investment.
Details of Proposed Tax Reforms
At the core of the package is a set of tax reforms aimed at industries with negative social impacts. These “extra-fiscal” changes go beyond raising revenue. They are meant to influence consumer habits and discourage harmful activities.
The proposal targets online gambling, sweetened drinks, tobacco, and violent digital video games. A major change is the plan to raise the ad valorem tax on remote betting from 30% to 50%. The new rate would apply either to the total amount wagered or to actual revenue received. According to officials, this reflects the real risks online gambling poses for society.
| Industry/Product | Current Tax Rate | Proposed Tax Rate |
|---|---|---|
| Remote Betting | 30% | 50% |
| Sweetened Drinks & Non-caloric Sweetened Drinks | – | Higher rates proposed |
| Tobacco Products | – | Higher rates proposed |
| Digital Video Games (Violent Content) | – | New special tax proposed |
Rationale Behind the Measures
The SHCP defends these measures by pointing to public health concerns. Sugary drinks, for example, contribute to obesity and diabetes, two major health challenges in Mexico. Tobacco also raises healthcare costs and lowers workforce productivity.
Online gambling, meanwhile, is linked to family financial problems. Heavy use of violent video games has also been tied to anxiety, depression, and social isolation.
Government Objectives and Global Context
The administration presents the 2026 Economic Package as both a fiscal and public health measure. It aims to reduce the consumption of harmful products. Officials say this aligns with President Claudia Sheinbaum’s goal of promoting healthier lifestyles.
The anticipated increase in revenue is expected to support key social programs and strengthen the sustainability of welfare initiatives, while potentially lowering costs tied to preventable diseases and negative behaviors. Mexico’s approach mirrors international patterns, with officials pointing to similar policies worldwide that employ taxes and restrictions to address public health and social welfare concerns.
Potential Industry Impact
If the reforms gain legislative approval, Mexico’s fiscal and regulatory structure would see a dramatic change. For both the online gambling sector and other affected industries, the steep rise in taxes – especially the move from 30% to 50% for remote betting – is poised to spark debate among major stakeholders and the general public. Nevertheless, the SHCP defends these steps as crucial for promoting health, tackling inequality, and building financial resources for future social development.
The outcome of this proposal could set a benchmark for similar fiscal strategies across Latin America, reinforcing the connection between taxation policy and societal objectives.
- Author
Daniel Williams
