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Reuters
Reuters
Business
By David Lawder

U.S. IRS identifies 79 tax fugitives in Mexico, neighbors

IRS Mexico Internal Revenue Service Belize El Salvador Guatemala Honduras

The Internal Revenue Service's Criminal Investigation unit said on Thursday it has located 79 tax evasion fugitives in Mexico, Belize, El Salvador, Guatemala and Honduras in the first year of a new extradition initiative.

The effort was made possible by a change in Mexico's tax laws in 2020 that made tax evasion a felony offense as part of a crackdown to improve weak tax collection. The reclassification paved the way for tax fugitives to be extradited to the United States.

Before this, tax crimes were non-extraditable offenses in Mexico, making it a haven for U.S. tax evaders. The IRS said that since June 2021, its Criminal Investigation (IRS-CI) branch in Mexico City has extradited eight of the 79 individuals identified for possible prosecution in the United States.

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