The Los Cabos City Council has approved an extension of a 20 percent property tax discount for January and February 2026, encouraging residents to pay early and help strengthen municipal finances.
Municipal Treasurer Rigoberto Arce announced that the discount program took effect on January 1, 2026, offering a 20 percent discount for payments made in January and February, and a 10 percent discount in March. Arce emphasized that timely tax payments make it possible to continue funding public works, services, and community programs that benefit local families.
“This year, the City Council decided to maintain the 20 percent discount for both January and February instead of reducing it to 15 percent in the second month,” Arce explained. “It has been a positive decision, and we hope residents take advantage of this fiscal incentive.”
Tax collection offices will be open Monday through Friday from 8:00 a.m. to 5:00 p.m. at various locations in San José del Cabo and Cabo San Lucas. In San José del Cabo, residents can pay at City Hall, the Municipal Cadastre Office, the one-stop service window at Plaza Arámburo, and the module of the General Directorate of Public Security, Preventive Police, and Municipal Traffic. In Cabo San Lucas, payment can be made at Plaza Tamaral, the Cultural Pavilion of the Republic, the offices of the Secretariat of Finance, the Delegation Building, and the Public Security Command Center.
In Mexico, the annual property tax is known as the “Predial.” It is a local tax collected by municipalities and is generally modest, based on the property’s assessed cadastral value rather than its market value. Property owners are responsible for payment, as no bills are sent out. The tax is usually due at the beginning of the year, with deadlines typically in March. Most municipalities offer significant discounts for early payment in January or February.
Unpaid taxes can accumulate penalties and may block the sale or transfer of a property, since a “certificate of no debt” is required by a notary public to finalize transactions. Foreign property owners pay the same as citizens, even if the property is held in a bank trust, known as a fideicomiso.
Payments can be made online by visiting the official website of the respective municipality, search “Tesorería de Los Cabos” and navigate to the “Pago de Predial” or “Trámites y Servicios” section. Owners should enter their cadastral ID number, verify the amount, and pay using a credit or debit card, including international cards.
Payments can also be made in person at local tax offices (Tesorería), City Hall (Palacio Municipal), or designated banks using the Clave Catastral. If owners are unable to pay personally, a property manager, lawyer, or tax service company can make the payment on their behalf. Consulting a tax professional in Mexico is recommended to ensure compliance with all tax obligations, including those related to property ownership or rental income.
