The Mexican Association of Liquefied Gas Distributors and Related Companies (AMEXGAS) asked Congress to include LPG in the exception under Article 78-E of the Income Tax Law. The reform, approved on November 3, 2026, exempts gasoline and diesel but left out the household fuel.

The Chamber of Deputies approved the expansion of limits on deductions and tax losses that day as part of the 2027 Economic Package, and the bill was sent to the federal Executive, according to UnoTV. The mechanism, in force since January 1, 2027, restricts deductible expenses and losses from prior years that companies apply to calculate the tax, and it applies to legal entities with income above 50 million pesos. It also provides exceptions for automakers and for distributors and marketers of gasoline and diesel. LPG was left out, although the issue was raised during the legislative debate. For millions of Mexican households, LPG is the main energy source for cooking and heating water, so its tax treatment touches families' everyday spending.

In its public position, the association led by Lourdes Medina Valdés called the exclusion an "inequitable and even discriminatory act." It argued that LPG shares legal, economic and regulatory conditions with gasoline and diesel: its distribution is governed by the Hydrocarbons Sector Law and is subject to maximum prices set by the authority. MVS Noticias reported that AMEXGAS acknowledged the goal of combating tax evasion and clarified that the exception does not mean ceasing to pay taxes or eliminating verification and audit obligations. The association warned that applying the new limits could affect companies' financial capacity, reduce investment and compromise supply. It maintained that the LPG that reaches households "requires the same public attention as other essential energy sources."

With the text already in the hands of the Executive, AMEXGAS's request now rests with lawmakers, who will decide whether LPG is added to the exception before the new scheme takes effect in January 2027.

This article was written with the assistance of artificial intelligence from verified sources and reviewed by a human editor before publication.