While Isabella I considered applying the alcabala to Spain's American colonies as early as 1503, in fact it was not applied there until the late 16th century. It was imposed in Mexico in 1574 and Peru in 1591. Typically the "capitulaciones" (contracts) for those who set out to conquer territory for Spain gave them a certain period of exemption from the alcabala. For example, through the "capitulación" between the Crown and Francisco Pizarro, Peru was supposed to be exempt from the alcabala for a century, though in practice the Crown did not wait quite so long.