Property taxes across Mérida are about to see a considerable increase.
City and state authorities are justifying the move by arguing that the increases are necessary to make up for a shortfall of federal funds.
The tax, known in Mexico as impuesto predial, is based on approximate property values, but has historically seemed rather arbitrary.
The severity of the tax increase is unknown but has already increased several times over in regions including Cholul.
Property taxes in Mexico have been relatively low, at least compared to countries like the United States and Canada.
Though modest homes in some parts of the city can pay only a few hundred pesos a month in property taxes, commercial properties are taxed at rates that are several times higher.
The increase in property taxes in Mérida is also being justified given the boom in real estate prices in the city over the past 15 years.
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Mérida’s city government has set up a website to help calculate the property tax payable for a specific property.
If property taxes are not paid in a timely fashion, they accumulate interest and penalties. However, the city has on several occasions offered interest amnesties to people behind on their payments.
Having property taxes up to date is especially important if you are looking to rent or sell a property, as receipts attesting to this fact are a legal requirement.
Because many in Mérida simply refuse to pay the tax, the city has gone as far as to offer incentives in the form of discounts and raffle prizes to people who pay their predial on time.
