Tax Credits Overview & Forms
New Mexico offers business-related tax credits that may apply to business, personal, fiduciary, corporate, or sub-chapter s corporate income tax liability to taxpayers that meet the requirements set out in the statutes. Some credits are refundable or transferable. Some credits have limited eligibility dates. The Taxation and Revenue Department (Tax & Rev) cannot consider claims for periods prior to dates stated in the legislation or claims that are filed after the deadline has passed.
The publication FYI-106, Claiming Business-Related Tax Credits for Individuals and Business, provides more detailed information on each credit type. Be aware that legislation, regulations, court decisions, revenue rulings, notices and announcements subsequent to the publication date may affect the information’s accuracy.
Application
The application process for credits may be handled through a different agency, for more information see the FYI-106, Claiming Business-Related Tax Credits for Individuals and Business.
For credits that have an application process managed through Tax & Rev, see the list below:
Business Credit Audit Team – TRD-BusinessCredit@tax.nm.gov
- Angel Investment Credit
- Income Tax Act, Section 7-2-18.17 NMSA 1978
- Film Production Tax Credit
- Film Production Tax Credit Act, Section 7-2F-1.1 through 7-2F-15 NMSA 1978
- High Wage Jobs Tax Credit
- Other Tax Credit Act, Section 7-9G-1 NMSA 1978
- Investment Credit
- Investment Credit Act, Sections 7-9A-1 through 7-9A-11 NSMA 1978
- Rural Job Tax Credit
- Rural Job Tax Credits, Section 7-2E-1.1 NMSA 1978
- Technology Jobs and Research and Development
- Technology Jobs and Research and Development Tax Credit Act, Sections 79F-1 through 7-9F-13 NMSA 1978
Business Credit Manager – BusinessCredit.Mgr@tax.nm.gov
- Sale of Dyed Special Fuel used for Agricultural Purposes
- Gross Receipts and Compensating Tax Act, Section 7-9-58.1 NMSA 1978
- Laboratory Partnership with Small Business Tax Credit
- Laboratory Partnership with Small Business tax Credit Act, Sections 7-9E-1 through 7-9E-11 NMSA 1978
- Legal Services for Wildfire Compensation Recovery Credit
- Gross Receipts and Compensating Tax Act, Section 7-9-121 NMSA 1978
- Preservation of Cultural Property Credit (Certification with Cultural Affairs Department)
- Income Tax Act, Section 7-2-18.2
- Corporate Income and Franchise Tax Act, Section 7-2A-8.6 NMSA 1978
- Technology Readiness Gross Receipts tax
- Gross Receipts and Compensating Tax Act, Section 7-9-96.3 NMSA 1978
- Unpaid Doctor Services Tax Credit (Unpaid Charges for Services Provided in a Hospital)
- Gross Receipts and Compensating Tax Act, Section 7-9-96.2 NMSA 1978
If you have questions about claiming a credit, transferring a credit or distribution of a credit, email BusinessCredit.Mgr@tax.nm.gov after reviewing the forms located in the folders below.
Claim Forms
- If a tax form has a Schedule CR, claim forms located in the “Archived” folder below are not needed. Complete the Schedule CR as called for in the tax forms instructions.
Distribution
Some credits allow for a distribution, see the folders below for the distribution forms for the following credits:
- Film Production
- Film Production Tax Credit Act, Section 7-2F-1 through 7-2F-15 NMSA 1978
- Technology Jobs and Research and Development
- Technology Jobs and Research and Development Tax Credit Act, Sections 79F-1 through 7-9F-13 NMSA 1978
Some credits allow for a credit to be transferred, see the folders below for the transfer forms.
- Alternative Energy Equipment Tax Credit
- Corporate Income and Franchise Tax Act, Section 7-2A-19.3
- Income Tax Act, Section 7-2-18.39
- Affordable Housing Tax Credit
- Sections 7-9I-1 through 7-9I-6
- Agricultural Biomass Tax Credit
- Corporate Income and Franchise Tax Act, Section 7-2A-26
- Income Tax Act, Section 7-2-18.26
- Clean Car Tax Credit
- Personal Income Tax Act, Section 7-2-18.36
- Corporate Income and Franchise Tax Act, Section 7-2A-19.1
- Land Conservation
- Income Tax Act, Section 7-2-18.10
- Corporate Income and Franchise Tax Act, Section 7-2A-8.9
- New Solar Market
- Income Tax Act, Section 7-2.18.31
- 2015 Sustainable Building
- Income Tax Act, Section 7-2-18.29 (Available Until December 31, 2024)
- Corporate Income and Franchise Tax Act, Section 7-2A-28 (Available Until December 31, 2024)
- 2021 Sustainable Building
- Income Tax Act, Section 7-2-18.32 (Available until January 1, 2028)
- Corporate Income and Franchise Tax Act, Section 7-2A-28.1 (Available until January 1, 2028)
If you have a Taxpayer Access Point(TAP) account, you can log in and complete your transfer electronically for the following tax credits:
- New Solar Market Development Tax Credit;
- 2015 Sustainable Building Tax Credit;
- 2021 Sustainable Building Tax Credit;
- Affordable Housing Tax Credit;
- Land Conservation Tax Credit; and
- Rural Jobs Tax Credit.
How to submit a business credit transfer request through TAP:
- Login to TAP and click the “More” tab.
- From the “Business Credit Transfer” panel, click the “Request Credit Transfers” hyperlink.
- Review the instructions. All credits that are available to be transferred will populate under Credit Information.
- Select the credit(s) you wish to transfer.
- Under the Credit Target Information section, indicate the taxpayer who the credit is transferring to. Be sure to attach the appropriate Notice of Transfer form.
- Review and submit the request. If all information is correct and no additional review is needed on the Department’s side, the transfer will systematically post and generate a notice the next business day.
- A letter will systematically be issued to the transferrer and the transferee along with the new certificate number. This letter is viewable through TAP.