Mexico DIOT File (Mexico Localization)

In Mexico, taxpayers must submit a monthly declaration of all payments made to third parties, with details of the applicable value added tax.

Using the NetSuite Tax Audit Files SuiteApp you can generate a DIOT file that conforms to the requirements specified by the SAT, and can be submitted online to the tax authority portal.

The Mexico DIOT file is a text file that contains a list of all payments made by a subsidiary to third parties within a selected period, and includes details of applicable value added tax. Only transactions with IVA relevant tax codes are included in the DIOT file. If a transaction has no tax code, or if the tax code is marked as Exclude from VAT reports, the transaction is not included in the DIOT file. Tax codes for Mexico are described in the Mexico Tax Codes section. For information about transactions included in the DIOT file, see Tax Code Mapping for Mexico DIOT File (Mexico Localization SuiteApp).

For vendor bills, only those that have been paid (through any of the payment transactions) and reconciled with the bank account are included in the DIOT file.

Important:

The DIOT report shows only cleared transactions. Be sure to reconcile transactions before generating the DIOT report. For more information about reconciling bank statements, see Bank Account Reconciliation and Reporting.

Required Fields for Mexico DIOT Reporting

For DIOT reporting, you must complete the following fields on entity and transaction records for companies or subsidiaries in Mexico:

• Billing address Country field on the vendor record

  In the DIOT file, vendors must be classified as national vendor, foreign vendor, or global vendor. Be sure to provide a value in the Country field of the vendor billing address. Currently, NetSuite cannot identify global vendors.

• Mexico RFC field on the employee, vendor, lead, prospect, customer, contact, and partner record

  If there is no value in the RFC code field on the employee, vendor, lead, prospect, customer, contact, or partner record, the DIOT report also shows an empty RFC field for the entity.

• Operation Type field

  Vendor bill, expense report, vendor credit, and check transactions must have an indication of their operation type, which could be Professional Services, Real Estate Leasing, or Others. If you do not enter a value, the DIOT report uses Others as the default operation type for the transaction.

  Note:

  The Operation Type field is also available in Purchase Orders to let you capture this information before converting the PO into a Vendor Bill.

• Vendor field

  In the DIOT file, all lines on expense reports must indicate the name of the vendor or supplier.

Note:

For information about custom fields and validations for Mexico, see Mexico Localization Features.

Mexico Localization Validation Tool

Note:

The Mexico Localization Validation tool is not yet supported by SuiteTax.

Note:

Only the Administrator, Accountant, and CFO roles have access to the Mexico Localization Validation Tool. To grant access to other roles, see Granting Access to Scripts for Mexico Localization.

The Mexico Localization SuiteApp includes a validation tool that checks the integrity of data to help you generate a complete and accurate Mexico DIOT File (Mexico Localization). The validation tool identifies which records have missing fields or incorrect information, so that you can fix them before you generate a DIOT file.

The validation tool can filter records by:

• type (Vendor, Employee, Customer, Partner, Contact, Bill, Bill Credit, Expense Report, Check)

• subsidiary

• transaction date

Use the validation tool filters to narrow the search result. Then, when you run the validation, the system displays a list of records and the corresponding validation rules that apply. For each record, you should add or modify a value to conform to the indicated rule. For example, if the rule says that the Vendor record must have an RFC number, click the record's link to edit the record and add the RFC number.

To understand the validations being implemented by the Mexico Localization SuiteApp, see Mexico Localization Validations.

To use the Mexico Localization Validation tool:

1. Go to Reports > Mexico Localization > Mexico Validation Tool.

2. Select a record type. If you want to run the validation for all record types at the same time, select the value (all).

3. If you are using a OneWorld account, select a subsidiary. If you want to validate records for all subsidiaries at the same time, select the value (all).

4. To validate records that were created within a specific date range, select a period. To validate records without specifying a date range, select the value (all).

5. To start the validation, click Run.

6. To edit a record, click the record's link in the Name column.

Generating the Mexico DIOT File

To generate a Mexico DIOT file:

1. Go to Reports > Tax > Audit Files.

2. Select DIOT (Text) from the Report list.

3. If you are using a OneWorld account, select the Mexico parent company or a Mexico subsidiary company.

4. Select an accounting period.

5. Click Generate.

   The system queues the process for generation, and then notifies you by email when the audit file has been generated. The email notification includes a link to the downloadable file. While the tax audit file is being generated, you can see its progress in the Download column of the Audit Files table. Click Refresh to update the Download column. When file generation is complete, the Download status displays a link to the downloadable file.

6. To generate a new report, click Reset and repeat steps 2 to 5.

7. When a Mexico DIOT file has been successfully generated, you can download it for submission to the SAT. To download, see Downloading a Tax Audit File. To delete a DIOT file, see Deleting a Tax Audit File.

The System Notes subtab makes a record of everything you do using the Tax Audit Files SuiteApp (create, delete, cancel, generate, and download), including user names and dates. Specific file details are also recorded, such as period, subsidiary, and report type.

For information about roles and permissions to use the Tax Audit Files SuiteApp, see Creating or Customizing Roles to Use Tax Audit Files.

Related Topics

• Electronic Accounting for Mexico
• Tax Code Mapping for Mexico DIOT File (Mexico Localization SuiteApp)
• Mexico Electronic Accounting Files (Mexico Localization)

General Notices