Home / Arts and Entertainment / Mexico Boosts Cinema with 30% Tax Incentive Plan
Mexico Boosts Cinema with 30% Tax Incentive Plan
16 Feb
Summary
- Mexico launches a new film support plan with a 30% income tax incentive.
- The incentive aims to attract international productions and retain national ones.
- Projects require at least 70% domestic suppliers and have spending caps.
Mexico has introduced a substantial new package aimed at bolstering its film and audiovisual sector. This initiative, officially effective as of February 16, 2026, includes a notable 30% income tax incentive for eligible projects filmed within Mexican territory. Actress Salma Hayek Pinault publicly supported the plan, highlighting its importance for the country's creative economy and cultural sovereignty.
The new measures are designed to attract substantial international film productions while encouraging national projects to stay within Mexico. A key requirement for the incentive is that projects must utilize at least 70% domestic suppliers. Additionally, there are maximum caps on the incentive, with a limit of 40 million pesos ($2.3M) per project.
Various types of projects are eligible, including fiction and animated feature films and series with a minimum expenditure of 40 million pesos ($2.3M), and documentaries with a minimum expenditure of 20 million pesos ($1.1M). Specific animation, visual effects, or post-production processes also qualify if they meet a minimum expenditure of 5 million pesos ($291k).
The incentive is accessible to both Mexican entities and foreign entities, provided they meet the specified criteria, including the utilization of Mexican residents for production activities if a permanent establishment is absent. This move signifies a concerted effort to leverage Mexico's rich cinematic legacy and world-class talent.
