Stay compliant: everything you need to know about REPSE registration and renewal in Mexico

If your company provides specialized services or subcontracted work in Mexico, you’re required to register with REPSE — a mandatory registry created as part of Mexico’s labor reform on outsourcing.

Failing to comply can lead to severe fines, legal liability, and the loss of business opportunities. In this article, we break down what REPSE is, who needs it, how to register or renew it, and what happens if you don’t.

🧾 What is REPSE?

REPSE stands for Registro de Prestadoras de Servicios Especializados u Obras Especializadas — the Registry of Specialized Service Providers in Mexico.

It was established under the 2021 labor subcontracting reform to ensure that companies offering specialized services are compliant with labor and tax obligations.

If your company provides services outside the core business activities of your clients, you likely need REPSE registration to operate legally.

✅ Requirements for REPSE registration

To register with REPSE, a company must:

• Be current with all tax and social security obligations
• Have incorporation documents that clearly describe its specialized activities
• Submit a sworn statement confirming that the services provided are not part of the client’s main corporate purpose or primary economic activity
• Have a valid services agreement in place
• Maintain an active employer registration with the Mexican Social Security Institute (IMSS), with employees duly registered
• Be enrolled with FONACOT, the national fund for worker consumption
• Be affiliated with a business chamber or association (e.g., COPARMEX, CANACO)

🔁 REPSE renewal requirements

REPSE must be renewed every year, and companies must provide:

• Proof of tax and social security compliance from the previous year
• Four-monthly informational reports (ICSOE and SISUB)
• A new sworn declaration under oath
• An updated service contract reflecting current conditions

⚠️ What happens if you don’t comply?

Non-compliance can lead to serious consequences, including:

• Fines from $50,000 to $4,000,000 MXN
• Cancellation of your REPSE registration if you fail to renew on time
• Joint liability for your client’s labor and social security obligations, which could expose both parties to audits and penalties

🛠️ Why REPSE compliance matters

Being REPSE-compliant offers significant advantages:

• Expanded market access — many companies only work with REPSE-registered providers
• Legal and fiscal certainty — avoid audits, fines, and contract invalidation
• Transparency and credibility in commercial relationships
• Tax benefits — without REPSE, invoices may become non-deductible or not credited as income

📌 Ensure your company is 100% compliant

At Singular Law, we understand the complexity behind REPSE registration and renewal. We offer end-to-end legal assistance to help your company register or renew REPSE properly — ensuring compliance with all applicable labor and tax laws in Mexico.

📩 Need help with REPSE?
Email us at contacto@singularlaw.mx or book a free consultation with our legal team today.

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