Accounting for Construction Companies in Puerto Vallarta

Construction companies in PV face IMSS audits, subcontractor CFDI requirements, and job cost tracking across multiple active projects simultaneously — without proper accounting, the margin on every project is unknown until it is too late.

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Who This Is For

  • General contractors managing residential and commercial construction in Puerto Vallarta
  • Residential construction firms building for foreign developers and expat buyers
  • Real estate development companies managing multiple simultaneous projects
  • Subcontractors and specialty trades who need to invoice with CFDI and stay SAT-compliant
  • Foreign developers working with local contractors who need bilingual project accounting

What's Included

  • Job cost accounting — separate P&L by project or construction site
  • Material and supply expense tracking with CFDI verification
  • Subcontractor payment management and CFDI receipt verification
  • IMSS registration and payroll for construction workers
  • CFDI invoice issuance to clients for progress billing
  • Monthly ISR and IVA declarations
  • Project budget vs. actual reporting
  • Annual corporate tax return

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Why AccountingPV

Accounting experts who know Puerto Vallarta

Job Cost Accounting Reveals Where You Are Losing Money

Most construction companies in PV track all projects in a single set of books and only discover a job ran over budget months after completion. We structure your accounts by project so you see each job's profitability in real time.

Subcontractor CFDI Is a Legal Requirement

SAT requires that every payment to a subcontractor be backed by a valid CFDI. Subcontractor payments without CFDI are not deductible and can trigger liability for the constructor if the subcontractor was not properly registered. We verify every subcontractor invoice before recording the expense.

IMSS Audits Target Construction

Construction is one of the highest-risk industries for IMSS labor inspections. Workers without registration can result in fines that dwarf the cost of compliance. We register every worker — permanent and temporary — before their first day on site.

Bilingual Reporting for Foreign Developers

Many PV construction projects are financed by US or Canadian developers who need monthly project reports in English. We provide bilingual project cost summaries alongside your Mexican accounting records.

FAQ

Common questions

We set up a job cost center for each active project. Every material purchase, subcontractor payment, worker payroll, and equipment cost is assigned to the specific project it belongs to. This produces a per-project P&L that shows gross margin on each job in real time.

Yes. Payments to subcontractors are only deductible for ISR purposes if backed by a valid CFDI from a registered taxpayer. Additionally, since 2022, the constructor must verify that subcontractors are in compliance with IMSS for their workers (outsourcing reform compliance). We verify both requirements for every subcontractor.

The reform requires that construction companies verify their subcontractors are properly registered with IMSS for the specific workers assigned to the project. The subcontractor must provide monthly IMSS compliance certificates (constancias) or the constructor loses the right to deduct the subcontractor payments. We manage this verification process.

Construction workers fall under IMSS risk class V (the highest risk category), which means employer contributions are significantly higher than in other industries — typically around 8% to 10% additional premium on top of standard contributions. Misclassifying construction workers in a lower category triggers surcharges in an IMSS audit.

Progress billing in construction triggers ISR and IVA obligations when the CFDI is issued, regardless of when cash is received. We align your billing schedule with your cash flow and tax obligations so you are not paying tax on income you have not yet collected.

No. Only material purchases with valid CFDI from registered SAT taxpayers are deductible. Purchases from informal suppliers at tianguis or without invoices cannot be deducted, even if they represent real project costs. This is one of the most common sources of inflated tax bills in construction.

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Related services & resources

Service Payroll Services Payroll and IMSS for construction workers. Service Bookkeeping Services Project-level bookkeeping for contractors. Calculator Payroll Calculator Estimate construction crew labor costs. Calculator Income Tax Calculator Estimate ISR on your construction income. Resource Payroll Requirements in Mexico IMSS obligations for construction employers. Landing Payroll Services Full payroll service for your crew.

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