New Mexico Sales Tax

On this page you will find handy sales and use tax information about New Mexico.

How to use this page:

We’ve pulled in the information from all our Charts for a consolidated view by state.  Here you can see the sales tax rates and if the state has remote seller nexus rules. You can also see any sales tax holidays or amnesty programs that may exist, though these do not apply to all states.

Below the chart you can find any News & Tip item we have published that relates to New Mexico that you can filter by topic. This will help you get informed on current and past legislation that has passed in the state.

State Rate


Range of Local Rates

0.125% – 7.75%

Local Rates Apply to Use Tax






Annual Back to School Holiday

August 2-4, 2024

1. Clothing and footwear items – less than $100 per item (excluding accessories, athletic or protective clothing or footwear)
2. School supplies – less than $30 per item
3. Computers, e-readers that have computing functions, and tablets – $1,000 or less per item
4. Certain computer related items – $500 or less per item
5. Book bags, backpacks, maps and globes – less than $100 per item
6. Handheld calculators – less than $200 per item

NOTE: Retailers are not required to participate.

Small Business Saturday Gross Receipts Tax Holiday

November 30, 2024

Receipts from the retail sale of tangible personal property if the sale of the property occurs during the period between 12:01 a.m. on the first Saturday after Thanksgiving and ending at midnight on the same Saturday (7-9-116)

  • Requirement: the sale must be made by a seller that carries on trade or business in New Mexico, maintains its primary place of business in New Mexico, has employed no more than ten employees at any one time during the previous fiscal year, and the business must not be a franchise.
  • Requirement: this deduction applies only to receipts from sales of the following items:
    • the item is less than $500 and;
    • the sale is for:
      • clothing, footwear, accessories (jewelry, handbags, book bags, luggage, wallets, etc.) sporting goods and camping equipment;
      • tools used for home improvement, gardening and automotive maintenance and repair;
      • books, journals, paper, writing instruments, art supplies, greeting cards and postcards, work of art (photograph, sculpture, pottery, carving, textile, basketry, artifact, etc.)
      • floral arrangements and indoor plants;
      • cosmetics and personal grooming items;
      • musical instruments;
      • cookware and small home appliances for residential use, bedding, towels and bath accessories, furniture;
      • a toy or game that is a physical item, product or clearly intended and designed to be used by children or families at play; a video game or video game console and any associated accessories for the video game console; or home electronics, tablets, stereo equipment and related electronics.

NOTE: special reporting is required for this deduction, see instructions for completing the Form TRD-41413, Gross Receipts Tax Return in the GRT Filer’s Kit on our web site at This deduction will be reported by using the special business location code of D0-020 on the Form TRD-41413, Gross Receipts Tax Return.

NOTE: You can locate more information on what specific items are deductible in bulletin B-200.31 Small Business Saturday Gross Receipts Tax Holiday.

NOTE: This deduction is currently for receipts that fall on small business Saturday for starting calendar year 2018 until year 2025.



Amnesty Filing Dates

June 7, 2010 - September 30, 2010

Go to New Mexico Amnesty Page

Tax obligations due before January 1, 2010.


Individual and Business Taxes


All penalties waived and interest waived if tax paid within 180 days.



Amnesty Filing Dates

November 8, 2018 - December 31, 2018

Go to New Mexico Amnesty Page

There is no specific mention by the state of any specific lookback period but New Mexico has a 3 year statute of limitation for when the tax payment was due.


The Department will use the following criteria, as a guideline, to determine program eligibility:

• The taxpayer demonstrates a willingness and ability to comply with New Mexico’s tax laws;
• The taxpayer demonstrates an acceptable system of internal controls and business records (for most taxpayers, this may be income identified on the federal return and/or business income in New Mexico);
• The taxpayer’s resources are available to conduct the income disclosure

More details.


Interest and penalties waived.

Administration Information
Streamlined Sales Tax Status

Advisory State


144 Sales Tax Jurisdictions



Sales Tax Sourcing (Intrastate)


Sales Tax Return Due Date

The 25th of the month following the reporting period

Exemption Information

Product types of exemptions: in general, construction materials and supplies are exempt; a manufacturer’s purchases are generally exempt


Entity types of exemptions: New Mexico or United States governments; 501(c)(3) organization; credit unions


New Mexico Nontaxable Transaction Certificates

History & Fun Facts

New Mexico imposes a gross receipts tax, not a traditional sales/use tax, and began imposing the tax in 1934. In 1939, the state added the Compensating Use Tax.

  • New Mexico’s annual sales tax holiday is unusual in that retailers are not required to participate in the holiday if they so choose.

Gross Receipts Taxes 101

Here is the 101 knowledge that you need to know to get you acquainted with gross receipts taxes…

New Mexico To Introduce Deductions for Healthcare, Electricity, and More Effective July 1, 2024

New Mexico has enacted legislation to provide new deductions from the state\’s Gross Receipts Tax for various industries, with most coming into effect July 1, 2024, and remaining in effect until July 1, 2034.

New Mexico Provides Gross Receipts Regulations for Digital Advertising

The New Mexico Department of Revenue has recently clarified rules regarding the application of the gross receipts tax to digital advertising services on websites accessible within the state.

New Mexico Gross Receipts Tax Rate Drops to 4.875% on July 1, 2023

Effective July 1, 2023, New Mexico’s state-level gross receipts tax rate is reduced from 5% to 4.875%, enacted by Gov. Michelle Lujan Grisham.

New Mexico Court Rules Staffing Agencies are Obligated to Pay Gross Receipts Tax

A New Mexico court ruled a psychiatric services provider was subject to the state’s gross receipts tax, contrary to New Mexico Statutes Sec. 7-9-77.1. The reason for this departure is due to the way the taxpayer was contracted.

New Mexico Releases Guidance for Application of Gross Receipts Tax to Lodging Marketplaces

A recent New Mexico bulletin advises taxpayers about the gross receipts tax responsibility of marketplace providers that list and book third party lodging and accommodations.

New Mexico Creates Gross Receipts Tax Deductions for Sales of Specific Services to Manufacturers

The New Mexico Department of Revenue provided a new law allowing receipts from selling certain professional services to be deducted from New Mexico gross receipts for taxing purposes.

State Notices & Resources for Remote Sellers

Use this state by state guide to find each state\’s initial guidance on how to proceed post-Wayfair, state resources such as FAQs, and any state activity such as going through a legislative process that impacts remote sellers.

Economic Nexus State by State Chart

Key information such as effective dates, thresholds, and includable sales for out-of-state sellers making sales into states that have enacted economic nexus legislation both before and after the South Dakota v. Wayfair Supreme Court decision.

Sales Tax Holiday Season is Here

With sales tax holiday season right around the corner, now is a good time to look at how sales tax holidays work and examine the different types of holidays that states offer.

New Mexico Implements Destination Based Sourcing Rules

On July 1, 2021, new rules for the New Mexico gross receipts tax came into effect, switching to destination-based sourcing for both New Mexico in-state and out of state sellers.

Southwest Sales Tax Updates

What’s been happening in the Southwestern sales tax landscape lately? Let’s dig into some updates.

New Mexico Extending Modifications to its Enforcement Efforts Due to COVID-19 Through August 31

New Mexico has announced that it will extend some modifications to its collection and enforcement efforts due to COVID-19 through August 31, 2020.

New Mexico Enacts COVID-19 Tax Relief Bill

Effective June 29, 2020, New Mexico Gov. Michelle Lujan Grisham enacted legislation that provides tax relief during the COVID-19 pandemic.

New Mexico Enacts Economic and Marketplace Nexus Legislation

New Mexico has enacted legislation with economic nexus and marketplace nexus provisions, effective July 1, 2019.

Hazard Removal Services Subject to New Mexico Gross Receipts Tax Since They Were Performed In-State

Hazard removal services provided by a taxpayer for the DEA were subject to New Mexico gross receipts tax since the services were performed in the state.

New Mexico Announces Tax Amnesty Program

On November 8, 2018, the New Mexico Taxation and Revenue Department announced a tax amnesty program that will run through December 31, 2018.

House Introduces Online Sales Simplicity and Small Business Relief Act of 2018

On September 13, 2018, Rep. Jim Sensenbrenner (R-WI) and additional U.S. House members introduced the Online Sales Simplicity and Small Business Relief Act of 2018.

Remote Seller Resources

Comprehensive list of resources for remote sellers following the South Dakota v. Wayfair Supreme Court decision – including state notices, videos, articles, training opportunities, and more.

U.S. Supreme Court Issues Decision In South Dakota v. Wayfair

On June 21, 2018, the U.S. Supreme Court issued its decision in the South Dakota v. Wayfair case, ruling in favor of South Dakota and overturning Quill’s physical presence rule.

South Dakota v. Wayfair Analysis & Predictions: Sales Tax Experts Weigh-In

Sales tax experts lend their insight into and predictions for one of the most important U.S. Supreme Court decisions regarding sales tax in decades, South Dakota v. Wayfair.

Multistate Tax Commission Updates Its Uniform Sales & Use Tax Exemption Certificate

The Multistate Tax Commission (MTC) revised its Multijurisdictional Uniform Sales & Use Tax Exemption/Resale Certificate on January 22, 2018 to reflect two state changes.

New Mexico Business Owner Held Personally Liable for Unpaid Tax

A New Mexico taxpayer became personally liable for gross receipts tax after failing to update business registration after switching business types.

Record Number of Sellers Participate in 2017 MTC Amnesty Program

The volume of applicants for the 2017 online marketplace seller tax amnesty program overwhelmed the Multistate Tax Commission.