Side Letter to the 1989 Treaty (1990)

Letter (1990) to Tax Information Exchange Agreement (1989)

SIDE LETTER TO THE 1989 TREATY (1990)

This letter refers to the Agreement for the Exchange of Information With Respect to Taxes Between the United States and the United Mexican States (the “Agreement”), signed at Washington, D.C., on November 9, 1989. The following understandings were reached between our two governments.

1. The representatives of the United States requested assurances that the United Mexican States has authority to obtain financial information on behalf of the United States pursuant to a request made under the Agreement. The representatives of the United Mexican States informed the United States representatives as follows:

(i) The laws of the United Mexican States in effect on November 9, 1989, allow the Mexican fiscal authorities to obtain financial information and provide such information to the United States pursuant to a request made under the Agreement.

(ii) If such laws are changed subsequent to November 9, 1989, to prevent the Mexican fiscal authorities from obtaining such information or providing such information to the United States, the United Mexican States will notify the United States of such a change and the United States will have the right to terminate the Agreement.

2. The representatives of the United Mexican States requested assurances that the United States has authority to obtain financial information on behalf of the United Mexican States pursuant to a request made under the Agreement. The representatives of the United States informed the United Mexican States representatives as follows:

(i) The laws of the United States in effect in November 9, 1989, allow the United States fiscal authorities to obtain financial information and provide such information to the United Mexican States pursuant to a request made under the Agreement.

(ii) If such laws are changed subsequent to November 9, 1989, to prevent the United States fiscal authorities from obtaining such information or providing such information to the United Mexican States, the United States will notify the United Mexican States of such a change and the United Mexican States will have the right to terminate the Agreement.

3. The representatives of the United States and the United Mexican States informed each other that laws or practices of the respective countries pertaining to disclosure of information respecting ownership of interests in a person (other than an individual) do not prevent or otherwise affect the authority of the respective countries to effectuate the terms of Agreement.

4. The representatives of the United States and the United Mexican States informed each other that the respective countries have the power to carry out all the obligations listed in paragraph 5 of Article 4.

Done at Mexico City, in duplicate, in the English and Spanish languages, the two texts having equal authenticity, this 18th day of January, 1990.