Any business that sells goods or taxable services within the state of New Mexico to customers located in New Mexico is required to collect sales tax (called a gross receipts tax) from that buyer.
Do you need to get a Sales Tax certificate in New Mexico State?
You may need a Sales Tax Certificate if any of the following apply your business:
- You have a physical office or place you conduct
- You sell or ship products to a buyer in New Mexico State
- Your business has Sales and leases of goods and property (tangible and intangible)
What constitutes taxable services in New Mexico State?
The majority of service businesses are taxable in New Mexico. The exceptions would be if your business fabricates or manufactures a good or product. Additionally, medical, janitorial, and transportation services are taxable
Why do I need a Sales Tax Certificate to purchase wholesale items for Resale in the State of New Mexico?
As a wholesale company conducting business in the state of Alabama, you are required to have a sales tax certificate when purchasing items at wholesale prices, Therefore, suppliers must request a copy of your resale certificate before selling you items at wholesale prices.
Do you need to collect sales tax on shipping and handling of merchandise?
If you sell tangible goods in New Mexico that are taxable than you would charge sales tax on shipping and handling charges
Is there sales tax on drop shipments in the state of New Mexico?
A drop shipment is where a seller (most times out of state) sells a product which is then delivered to a consumer by a third-party shipper. In most instances, drop shipments in New Mexico are required to have sales tax added
Are there any exemptions to taxable items sold?
Gross receipt exemptions are nontaxable and non-reportable. These include Groceries, raw materials, newspapers, and general control equipment,
Register for an New Mexico sales/use tax number
New Mexico state, county, city, & municipal tax rate table