New Mexico Gross Receipts Tax (GRT) 2025
New Mexico Sales Tax (Gross Receipts Tax) Guide for SaaS and E-Commerce Businesses 2025
2025-09-18
Quick note: New Mexico does not impose a traditional sales tax. Instead, it levies a Gross Receipts Tax (GRT) on businesses for the privilege of doing business in the state. We use the term “sales tax” here for discoverability, but all rules below reference GRT law and guidance.
The state portion is 4.875% (effective July 1, 2023), with local option rates of 0%–4% depending on the city/county where the receipts are reported.
Sources: TRD July 2023 release, GRT overview
Last updated: September 2025
Quick Reference: New Mexico “Sales Tax” / GRT (2025)
| Topic | Details |
|---|---|
| Base state portion | 4.875% since July 1, 2023 (TRD release) |
| Local add-ons | 0%–4%, set by local jurisdictions (GRT overview) |
| Economic nexus | $100,000 prior-year taxable NM receipts; no 200-transaction rule (FYI-206, p.2–3) |
| Marketplace rules | Marketplace providers must collect; sellers can deduct facilitated receipts if the provider remits (FYI-206) |
| Sourcing | Destination-based sourcing for goods and services (FYI-265, p.3) |
| Filing due date | GRT return TRD-41413 due by the 25th of the following month (GRT Filer’s Kit) |
| Register / file | TAP (Taxpayer Access Point) |
SaaS, Software & Digital Products in New Mexico
New Mexico taxes all licenses to use digital goods delivered electronically. This includes software, apps, music, video, e-books, and ringtones.
Source: FYI-265, p.2
- TRD states that “the sale of digital products over the internet to an individual that uses that product in New Mexico is a taxable sale. A sale of a digital product is considered the sale of a license to use property and is not considered a service. A digital product includes any product that is delivered electronically.” and that professional services delivered digitally (e.g., streaming classes, consulting by video) are taxable when the service is used in New Mexico.
Source: FYI-265, pp.2–3
Deductions: Certain receipts are specifically excluded, such as licenses sold to governmental entities for public loaning (e.g., e-book licenses for libraries).
Source: FYI-105, pp.22–23
Compensating (use) tax: If a digital product or service is used in New Mexico and no GRT was paid, the buyer owes compensating tax.
Source: FYI-230, p.1
E-Commerce & Tangible Goods
| Category | Taxable? | Authority |
|---|---|---|
| Tangible goods shipped to NM | Yes | GRT applies at the reporting location. GRT overview |
| Electronic software / app downloads | Yes | Treated as licenses to use digital goods. FYI-265, p.2 |
| SaaS / cloud access | Yes | Licensing digital products and professional services online is taxable. FYI-265, pp.2–3 |
| Professional services delivered online | Yes | Taxable if used in NM. FYI-265, p.3 |
| Marketplace sales | Yes | Marketplace providers must collect. FYI-206 |
Nexus & Marketplace Facilitators
-
Economic nexus: Businesses with $100,000 or more in prior-year taxable receipts into NM are “engaging in business” and must register and collect.
Source: FYI-206, p.2–3 -
Marketplace facilitators: Required to collect and remit GRT on facilitated sales. Sellers can deduct these receipts if the facilitator remits.
Source: FYI-206, p.4–5
Sourcing & Rates
New Mexico uses destination-based sourcing. The reporting location is where the product of the service is delivered or where the tangible property is received.
Source: FYI-265, p.3
Get current codes and rates: TRD GRT Location Code & Tax Rate Map
Filing, Due Dates & Registration
- Register: All businesses engaging in NM must register. TRD – Who must register a business?
- Form: TRD-41413 (Gross Receipts Tax Return). Instructions
- Due date: 25th of the month following the reporting period. GRT Filer’s Kit
- Where to file: TAP portal
FAQs: New Mexico GRT & Sales Tax
Is SaaS taxable in New Mexico?
Yes. Licensing software and other digital goods, and delivering professional digital services into NM, are taxable. FYI-265
What is the economic nexus threshold?
$100,000 in prior-year taxable receipts. FYI-206
Does NM use destination-based sourcing?
Yes. Location depends on where goods are received or services are used. FYI-265, p.3
What rate should I charge?
4.875% state portion plus the applicable local rate for the reporting location. TRD July 2023 release • Location Code Map
Do marketplace facilitators have to collect?
Yes. Providers must collect; sellers deduct those receipts if the provider remits. FYI-206
Official New Mexico Resources
- Gross Receipts Tax overview (TRD)
- FYI-105 – GRT & Compensating Taxes Overview (2025)
- FYI-206 – Gross Receipts Tax and Marketplace Sales
- FYI-265 – Digital Products & Professional Services
- FYI-230 – Compensating (Use) Tax
- TRD July 2023 GRT rate change
- Location Code & Tax Rate Map
- Who must register a business?
- GRT Filer’s Kit
- TRD-41413 Instructions
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