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New Mexico
By the Numbers

New Mexico Below is a snapshot of key features of New Mexico's tax system. (Scroll Down)
Personal Income Tax Features (2015)
  • Range of Tax Rates: 1.7% - 4.9%
  • Standard Deduction: $6,300 ($12,600 for Married Couples)
  • Personal Exemption: $2,500
  • Dependent Exemption: $2,500
  • Earned Income Tax Credit (EITC): 10% Refundable
  • Notable capital gains preference
  • Personal exemption phases out for high income levels
Corporate Income Tax Features (2015)
  • Range of Tax Rates: 4.80% - 6.90%, top rate phasing-down to 5.9% by 2018
  • Income Level at Which Top Rate Applies: $1,000,000
  • Combined Reporting: No
  • Apportionment Factor (Payroll): 33%
  • Apportionment Factor (Property): 33%
  • Apportionment Factor (Sales): 33%
  • Apportionment Note: Optional Single Sales Factor is phasing-in for manufacturers between 2014 and 2018
Sales Tax Features (2015)
  • State Sales Tax Rate: 5.125%
  • Average Local Sales Tax Rate: 1.525%
  • Average Combined State & Local Sales Tax Rate: 6.65%
  • State Sales Tax Treatment of Groceries: Exempt
  • Local Sales Tax Treatment of Groceries: Exempt
  • Number of Services Taxed: 74 out of 168 surveyed (2007)
  • Streamlined Sales Tax Membership: No
  • Sales tax holiday offered in 2014
  • Sales tax is actually a Gross Receipts Tax (GRT)
  • Sales tax holiday offered in 2014
Property Tax Features (2015)
  • Provides a small homestead exemption.
  • Cap on local taxing districts' property tax revenue.
Other Tax & Revenue Features (2015)
  • Gasoline Tax Rate (per gallon): $0.189
  • Diesel Tax Rate (per gallon): $0.228
  • Cigarette Tax Rate (per pack): $1.66
  • Estate or Inheritance Tax: No
  • Net Lottery Sales Per Capita: $67 (2010)
Tax Policy Oversight
  • Tax Expenditure Report: Yes
  • Tax Incidence Analysis Capability: Personal income tax only

Last Updated January 13, 2015

Sources & Glossary