Increase in tax free goods could mean more shoppers from Mexico - Action News 5 - Memphis, Tennessee

Increase in tax free goods could mean more shoppers from Mexico

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TUCSON, AZ (Tucson News Now) -

People heading south of the border with items they have bought here in Arizona will get a break from taxes – thanks to some new rules.

The new rules are only for limited time, but other measures will help boost our local economy year round.  Typically around the holiday season, shoppers from Mexico can take $300 worth of goods bought in the U.S. across the border without having to pay taxes on it.  Now the cap has been raised to $500 worth of goods per person, and still no taxes paid on those items.

This now means that shoppers can come up from Mexico and spend more money at Southern Arizona businesses.  This increase in tax-free goods only runs through to January 8.  But there is more good news for Arizona business owners – beginning in January, Mexico will be increasing their tax rate, so it will be cheaper for people to come shop in southern Arizona.

Visit Tucson, the group that promotes tourism, has stated it is preparing local businesses for more customers through a special program.

"We train our retailers, our restaurants, our hotels how to better service the Mexico market so they can be more productive and more efficient in capturing these dollars coming here," stated Felipe Garcia, a spokesperson with Visit Tucson

Every year Mexico tourism brings in almost $1 billion into Tucson and surrounding areas, not to be forgotten, when shoppers buy in the U.S. they are also paying sales taxes, which will then go into city services.

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