Protect the company, value its people, and optimize tax planning
Companies are increasingly seeking solutions that allow them to protect their business, invest in their employees, and, at the same time, optimize their tax management.
In this context, health insurance, life insurance, and certain financial solutions can represent much more than just a benefit for employees and partners/managers. When properly structured, they can constitute a strategic investment for the company and, in certain situations, qualify for the provisions set forth in Article 23 of the Corporate Income Tax Code.
What does Article 23 of the Corporate Income Tax Code provide for?
Article 23 provides that expenses verifiably incurred by the company are tax-deductible, provided they are necessary to generate or secure its income or to maintain its business operations.
In practice, this means that certain expenses related to human resources protection, management, and business continuity may be considered tax-deductible costs, provided they meet the requirements set forth in the law.
How does this apply to health insurance, life insurance, and financial products?
When a company purchases life insurance to protect its employees, the premiums paid may, under certain circumstances, be classified as a tax-deductible expense under Article 23 of the CIRC.
Under Article 43 of the CIRC, this framework requires that the benefit be of a general nature, subject to a limit of 15% of the total payroll.
R2 Seguros can help
Talk to the team at R2 Seguros and find out which solutions can help protect your business and make your tax management more efficient.