New Mexico Web Site Use Agreement
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FAQ
Collecting Sales Tax As of 7/1/21, New Mexico is considered a destination-based sales tax state.
New Mexico considers you a tax-exempt organization if the federal government has first granted the status to you under Section 501(c) of the Internal Revenue Code with a classification as an educational or social entity. Your gross receipts may be exempt from gross receipts tax under Section 7-9-29 NMSA 1978.
A blanket certificate in California appears to not have an expiration date.
List of Destination-Based Sales Tax States Alabama. Arkansas. Colorado. Connecticut. District of Columbia. Florida. Georgia. Hawaii.
Note: Effective July 1, 2021 New Mexico has moved to destination-based sourcing. This means that the gross receipts tax rate on the sale of property will be based on the location where the property is received by the buyer.
Utah is an origin-based state. This means you're responsible for applying the sales tax rate determined by the ship-from address on all taxable sales. Event sales are taxed based on the location of the event.
Type 6: for construction contractor's purchase of construction materials, construction services, construction-related services or for the lease of construction equipment. Type 9: for purchase of tangible personal property by New Mexico or United States governments, 501(c)(3) organization, or credit unions.
Origin-sourced sales are taxed where the seller is located, while destination-sourced sales are taxed at the location where the buyer takes possession of the item sold. As a seller, it is important to know whether you are located in an origin-sourced state or a destination-sourced state.
