nexus-guides

Gross Receipts Tax Nexus in New Mexico: What Online Sellers Need to Know

Euwye Chan···5 min read

The Short Answer

Like Hawaii, New Mexico doesn't have a traditional sales tax — it uses a Gross Receipts Tax (GRT) on the seller's business receipts. The GRT applies to services, SaaS, and digital goods as well as physical products. Threshold: $100,000 in taxable gross receipts (prior calendar year). No transaction threshold.

Economic Nexus Threshold

  • Dollar threshold: $100,000 in taxable gross receipts from New Mexico business activities (previous calendar year)
  • Transaction threshold: None — revenue-only threshold
  • Effective date: July 1, 2019

Does New Mexico Count Marketplace Sales Toward Your Threshold?

Marketplace providers meeting the threshold must collect GRT on facilitated transactions. Both marketplace provider and seller receipts count toward the threshold. Taxero confirms your specific situation during onboarding.

What Taxable Products Look Like in New Mexico

  • Rate range: Varies by municipality (state + county + city components) — check New Mexico's Taxation and Revenue Department rate lookup for your buyer's exact combined rate
  • Groceries: Food sold at retail for home consumption largely exempt
  • Clothing: Taxable under GRT
  • SaaS and services: Taxable under GRT. Unlike sales tax states, New Mexico's GRT applies to virtually all business receipts including services and digital goods. SaaS revenue is GRT-taxable.

How to Register in New Mexico

  • Portal: TAP at tap.state.nm.us
  • Cost: Free
  • Note: Register for "Gross Receipts Tax" — not sales tax

Filing Requirements

Monthly or quarterly based on liability. Due 25th of the following month. File Form TRD-41413 via TAP.

What Happens If You Don't Register

Late filing: 2% per month, minimum $5.

How Taxero Handles New Mexico

Taxero handles New Mexico's GRT as a distinct tax type, applies destination-based municipal rates, correctly classifies SaaS as taxable under GRT, and manages periodic TRD-41413 filings.

Get Your Free Nexus Report

Check Your New Mexico Nexus Exposure →

Related resources

→ Nexus Tracker→ All 46 States→ All State Guides

This article is for general informational purposes only and isn't tax advice. Sales tax rules vary by state and change often — consult a qualified tax professional about your specific situation before acting on anything here.

Ready to get compliant?

Taxero monitors your nexus, registers you where you owe, and files your returns automatically. Free to start — no sales call required.

Get Started Free →
← All Posts