Get NM TRD TRD-31109 2012

The annual percentage method, which is unchanged from 2017, is below. If the federal withholding is calculated using a flat percent, a flat 4.9% of the supplemental wage or fringe benefit amount should be withheld for New Mexico state income tax withholding purposes.

New Mexico is one of the largest tax havens in the U.S., offering numerous economic incentives and tax breaks on personal and corporate income. It does not have inheritance tax, estate tax, franchise taxes, or sales taxes. Its state income tax ranges from 1.7% to a maximum of 4.9%.

New Mexico does not have a form equivalent to the federal Form W-4. For New Mexico withholding tax, you should use a federal W-4 and write across the top of that form: "For New Mexico Withholding Tax Only."

There is a limited exception for certain nonresident employees. Also exempt from withholding tax is income wholly earned by a Native American member of a New Mexico federally recognized Indian nation, tribe or pueblo on the lands of the nation, tribe or pueblo where he or she is enrolled and lives.

Personal income tax 3.2% on taxable income between $5,501 and $11,000. 4.7% on taxable income between $11,001 and $16,000. 4.9% on taxable income of $16,001 and above.

New Mexico collects a state income tax across 4 brackets ranging from 1.7% to a top rate of 4.9%.

New Mexico Retirement Tax Friendliness. New Mexico taxes all forms of retirement income, including Social Security, while offering a deduction to seniors with household income below a certain limit. New Mexico's sales taxes are above average, but its property taxes are among the lowest in the U.S.

Nonresidents, including foreign nationals and persons who reside in states that do not have income taxes, must file here when they have a federal filing requirement and have income from any New Mexico source whatsoever. You must file Form PIT-1 to report and pay personal income tax.

To obtain NTTCs, you must have a New Mexico CRS identification number, which is an 11-digit number also known as a business tax identification number. Obtain that number by submitting a completed Form ACD-31015, Application for Business Tax Identification Number .

Use this number to report and pay state and local option gross receipts tax, New Mexico withholding tax and compensating tax under the Combined Reporting System (CRS). Known as a CRS Identification Number, it is used to report and pay tax collected on gross receipts from business conducted in New Mexico.

The gross receipts tax rate varies statewide from the state base of 5.125 percent to 8.8125 percent; anything over 5.125 percent represents local option rates imposed by counties and municipalities.

Choose a business name. File a trademark with the Secretary of State (optional). Obtain licenses, permits, and zoning clearance. Obtain an Employer Identification Number.

New Mexico does not have a sales tax. It has a gross receipts tax instead. This tax is imposed on persons engaged in business in New Mexico. ... Generally speaking, sales and leases of goods and other property, both tangible and intangible, are taxable.

Workers' Compensation Assessment Fee The fee is similar to a tax, and is $4.30 per employee per calendar quarter. ... Thirty cents of the fee per employee goes to the Uninsured Employers' Fund. Payment is due to the New Mexico Taxation and Revenue Department (TRD) the last day of the month following the end of the quarter.

New Mexico law requires that New Mexico employers carry workers' compensation insurance so that benefits may be provided in the event of an accident or an illness to one of their employees. After you have been injured, you must report your work-site injury to your manager or employer within 15 days of your injury.