The Servicio de Administración Tributaria (SAT) has explained how the temporary exemption of Value Added Tax (IVA) and the Special Tax on Production and Services (IDP) on fuels impacts tax credits. With the exemption now in effect, the offsetting of credits and debits is suspended for taxpayers. According to tax authorities, this exemption does not generate a right to a tax credit. This means taxpayers cannot claim credits related to the period when the IVA and IDP were waived on fuels. The SAT’s clarification aims to provide guidance regarding the implications of this tax policy change. The measure intends to reduce the financial burden on consumers regarding fuel costs in Mexico. Further details are available through the Servicio de Administración Tributaria.