Did you change your address? Let SAT know before they fine you.

After learning about the extension granted by the Tax Administration Service (SAT) for companies to register all of their workers' data, the CFDI 4.0 and the Tax Status Certificate continue to be the talk of the town.

As we know, the SAT requires that all persons (individuals and companies) register their current address in order to issue electronic invoices and any of the new movements that belong to CFDI 4.0.

Your address, for the Tax Administration Service, is called "domicile for tax purposes".

Now we have that, in case of not registering your current address, the SAT is empowered to impose a fine to "non-compliant taxpayers".

What is the tax domicile according to the SAT?

Your tax domicile is the address you registered when you filed your Federal Taxpayers Registry (RFC).

The Federal Fiscal Code (Código Fiscal de la Federación, CFF) states that all individuals and corporations must have a tax domicile.

"When taxpayers have not designated a tax domicile when they are obliged to do so, or have designated as tax domicile a place other than the one that corresponds to them in accordance with the provisions of this same precept or when they have declared a fictitious domicile".

So whenever you make a change of address it is necessary to notify the SAT in order to avoid being fined.

How much are the SAT fines?

Before talking about the amounts of the fines for not notifying the SAT of your change of address, we must mention that, according to article 79 of the CFF, you have only 10 days to do so. 

In the case of failure to do so, the fine can range from $3,870 pesos to $11,600 pesos, which will be charged by the SAT.

In addition, no new procedures will be allowed until the corresponding amount has been settled. 

Likewise, the CFF mentions that individuals or legal entities will receive such penalty if:

"did not file the notice of change of domicile or file it outside the time periods indicated in the Regulations of this Code, except when the filing is made spontaneously".

So, now that many of us are getting ready to enter the CFDI 4.0, the best thing to do is to inform your employees of this ruling to avoid them having a hard time.

Remember that if you want to keep up to date with the world of payrolls, you can't miss our blog-magazine notes.

See you next time!

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