New Mexico – Electronic Filing Mandate

SALT Report 1765 – The New Mexico Taxation and Revenue Department updated their FYI guide regarding the state’s e-filing mandate.  New Mexico requires certain taxpayers to file returns electronically.  This FYI guide is designed to help identify taxpayers who are required to e-file their CRS and the consequences for failure to comply with the e-file requirement.

The requirement to e-file your CRS is determined by how much tax was owed in the previous calendar year. Currently businesses that paid an average of $1000 or more per month for the previous calendar year are required to e-file.  If you have multiple CRS tax identification numbers, you must combine the taxes paid under all CRS numbers to determine your average monthly tax payment due per month.  Once a taxpayer is required to e-file their returns, they must continue to file electronically unless they receive a waiver or an exception from the Department.

Taxpayers who fail to e-file their returns in a timely manner will be penalized. The penalty will be assessed as follows:

  • 2% of the tax due per month or part of a month, up to 20% of the tax due, or
  • A minimum of $5, whichever is greater

Penalties will be imposed even if your payment is remitted properly and timely and will continue to accrue until the return is filed in the appropriate format.

For Further Information:

New Mexico Taxation and Revenue Department – FYI-108 Electronic Filing Mandate