Collections

Owe Taxes?

There are two ways that you can owe tax. The first way is to complete a self-filed tax return and not pay tax that is shown to be due or to make an error on the return. For example, you may have used the wrong tax rate. The second way is through the Department’s...

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Collection of Your Debt

The Taxation and Revenue Department is responsible for collecting taxes due. If you fail to file your taxes or owe money to the state, you should resolve your debt in a timely fashion. The first step is to establish communication with us. By law it is your...

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Refund Intercepts

The Taxation and Revenue Department may intercept Personal Income Tax (PIT) refunds and keep all or part of your refund if you owe other taxes to the state. The refund is applied to the outstanding liability. In addition, the law requires the Department to transfer...

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Information & Help Regarding Your Notice

This section describes the various notices you may receive from us about your Personal Income Tax return. For more information, see the applicable notices for audits, assessments, statements of account, return adjustments, abatements, overpayments and refund denials....

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Payment Plan

The law requires all taxes to be paid in full. When the Department sees that you cannot make a payment in full by a certain date, the Department may enter into a payment plan that allows you to make installment payments to pay off tax debt. Please note that interest...

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Penalty & Interest Rates

Penalty is calculated at 2% per month or partial month to a maximum of 20% on the unpaid principal of tax due. Interest accrues daily on the unpaid principal of tax due and can change on a quarterly basis. Current Interest Rates Interest accrues on tax that isn’t paid...

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Collection Agencies

We are authorized to contract with an outside collection agency to recover delinquent taxes. See the following documents regarding your rights in that eventuality: FYI-400: Tax Audits and Protest Procedures FYI-402: Taxpayer Remedies FYI-405: Taxpayer Bill of Rights...

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Liens & Levies

A notice of lien provides public notice of our interest in a taxpayer’s property or rights to property. It establishes the state’s priority among creditors. A levy authorizes us to seize taxpayer property. Lien When any person neglects or refuses to pay taxes after...

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Innocent Spouse Relief

Innocent spouse relief may be granted to persons who believe they are wrongly held accountable for a tax debt incurred by a spouse or former spouse. The Department Secretary may decide that it is unfair to hold the spouse or former spouse of a taxpayer liable for...

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Tax Clearance

What is a Tax Clearance? Under New Mexico law, the tangible and intangible property used in any business remains subject to liability for payment of certain taxes incurred by the business. Consequently, a successor to that business may become liable for taxes incurred...

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