New Mexico State Tax Information

New Mexico

What payment solution am I using?  (Not sure? Click here to find out how to identify your account)
IBA Travel Account:  No, IBAs are not tax exempt
CBA Travel Account: Yes, CBAs are exempt but there are a number of exceptions.
GSA SmartPay Tax Advantage Travel Card Account: Yes, includes CBAs that are exempt for lodging and rental cars only. 
Purchase Account (CBA):  Yes, CBAs are exempt but there are a number of exceptions..

Unlike most states, New Mexico imposes a gross receipts tax rather than a sales tax. The New Mexico Taxation & Revenue Department provides an overview of gross receipts tax on their website. Click this link to learn more. The Federal Government is only exempt from specific types of transactions in New Mexico. For example, centrally billed cards are not subject to gross receipts taxes on tangible property. Hotels and lodging, however, are considered intangible property and are subject to gross receipts tax. For a comprehensive list of exempt and non-exempt transaction types, please see pages 4-10 of the FYI-240 document located in the additional information section below. 

What forms if any will I need?

In most cases, the presentation of your centrally billed card bearing the legend "United States of America" should be enough to qualify for the gross receipts exemption so long as it is an applicable transaction type such as tangible property. Some merchants, however, may require a Type 9 (purchase of tangible personal property by a governmental entity) nontaxable transaction certificate or NTTC. New Mexico's Gross Receipts and Compensating Tax Act Regulations also outline other proof of payment methods such as "documents related to the transaction showing the governmental entity's name, such as purchase orders." Please review the FYI-204 and the Gross Receipts and Compensating Tax Act Regulations located in the additional information section below for more details. 

Who is the main point of contact?
New Mexico Taxation and Revenue Department: (505) 827-0700

What are the important links?
New Mexico Taxation and Revenue Department

Are there any additional information or instructions?

*Updated on 04/18/19