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Mexico’s Fine Art of Hiking Taxes That Hopefully No One Notices

Feb. 5, 2020, 12:00 PM

Mexico’s president vowed not to raise taxes, but they’re creeping up anyway as the government struggles to boost revenue in a stagnant economy.

From Jan. 1, Mexicans started to pay increased levies on gasoline and sugary drinks. Taxes on cigarettes, in the meantime, went up 41%. And soon digital platforms such as Airbnb Inc. and Netflix Inc. will also start collecting value-added and income taxes from users.

Ask President Andres Manuel Lopez Obrador’s team and they will say these are mostly inflation-adjusted hikes, and that the government has kept its promise to steer clear of tax increases.

Mexico’s economic slowdown ...