The Accounting system used in Mexico follows the same double ledger pattern, which is compatible with most of the accounting systems around the world.
Maintaining a general journal, general ledger and retained earnings is needed in Mexican accountings. There may be additional registers such as foreign currency registry and imports and exports for enterprises like “maquiladoras”.
There are two traditional structures:
- The balance sheet, which reflects the situation of the enterprise and provides the information about the assets, liabilities and capital on a particular date (the last day of the fiscal year).
- The profit and loss report shows the results of all financial activities of the company in a given period of time, which can be quarterly or yearly. It reflects the income, expenses, loss and profit obtained during that particular period.
The public accountant - Public accountants are very active and vital in the operation of businesses. They perform several activities in different areas such as costs accounting, management accounting, tax accounting, government accounting, controller, treasury and external areas as: Audit, consulting and counseling in all matters concerning the scope of the accountant.
In Mexico you can find many companies offering accounting services. other options are to have an on-site accountant or you can hire an individual accountant which is a great option for sole proprietors in Mexico.