The picturesque town of Tulum has once again become the focal point for a contentious debate over beach privatization, as foreign residents demand free access to the Jaguar National Park’s beaches. The municipal delegate for the area recently announced that only Mexicans will be granted free entry to the park, sparking outrage from expat communities who claim they are being unfairly targeted.
At the heart of this conflict lies a complex issue: many foreigners living in Tulum use tourist visas as a means to avoid paying taxes, particularly the Income Tax (ISR), which is required for individuals earning income in Mexico. These digital nomads and remote workers have made Tulum a popular destination for those seeking a relaxed lifestyle combined with access to modern amenities.
However, their prolonged stays in the country have led to increased competition for local businesses and reduced income for merchants operating within and near the Jaguar National Park. Furthermore, the phenomenon of gentrification has been triggered by the rise in demand for long-term rentals, causing prices to skyrocket.
The “visa run” strategy, which involves briefly leaving Mexico before re-entering on a new residence permit, has become a common practice among expats seeking to avoid tax obligations. This tactic allows them to remain in the country indefinitely without changing their immigration status or paying taxes on their global income.
According to the Federal Tax Code, individuals are considered tax residents in Mexico if they spend more than 183 days in a calendar year or have their center of vital interests located in the country. Those who fail to meet these criteria can avoid paying taxes on their foreign earnings.
As the debate rages on in Tulum, local authorities must balance their desire to preserve the environment with the need to accommodate tourists, who flock to Cancún and Playa del Carmen in record numbers each year. With over 20 million visitors arriving in these destinations alone in 2024, it’s clear that finding a solution that satisfies both sides will be a challenging task.
The conflict highlights a deeper issue: the blurred lines between tourism and residency in Tulum, where some foreigners have been living for years without paying their fair share of taxes. As the town continues to grapple with this complex problem, one thing is certain – finding a lasting solution that balances the rights of all parties involved will require careful consideration and creative solutions.
Source: Tendencias
