GRT Returns
Preparation and filing of your New Mexico Gross Receipts Tax returns. We handle location codes, rate calculations, and filing deadlines so you stay compliant.
What This Is
New Mexico doesn’t have a traditional sales tax. Instead, businesses pay Gross Receipts Tax on revenue generated in the state. The tax is technically imposed on the seller, though most businesses pass it along to customers as a separate line item. Different municipalities have different rates, which means you need to track where your customers are located and apply the correct rate for each transaction.
The complexity comes from New Mexico’s location code system. Every city, county, and special district has its own code and rate. Santa Fe has one rate. Taos has another. The pueblos and unincorporated areas each have their own rates as well. If you’re selling to customers across Northern New Mexico, you might be dealing with a dozen different rates on a single month’s return.
The Work
The Work
Track gross receipts by location code. Determine which receipts are taxable and which qualify for exemptions or deductions. Calculate the correct tax for each jurisdiction. Prepare and file returns with the Taxation and Revenue Department. Maintain NTTC documentation when applicable.
The Schedule
The Schedule
Returns filed based on your assigned frequency. Most businesses file monthly, though some smaller operations file quarterly or annually depending on their tax liability. Payments submitted before deadlines. Regular reconciliation to ensure reported receipts match your actual income.
Why This Matters
GRT compliance is not optional, and the Taxation and Revenue Department actively audits businesses. They check location code accuracy, proper application of rates, and whether claimed exemptions are supported by documentation. Getting something wrong doesn’t just mean paying the difference. It means penalties and interest that can significantly increase what you owe.
The other challenge is that rates change frequently. New Mexico municipalities adjust their GRT rates throughout the year. A rate that was correct last quarter might be wrong this quarter. If you’re not tracking these updates, you’ll file returns with outdated rates and won’t know there’s a problem until you receive a notice demanding back tax.
Location Code Confusion
Location Code Confusion
Sell something in Santa Fe and one rate applies. Deliver to a customer in Los Alamos and the rate changes. Perform a service at a job site in Española and it’s different again. Tracking all this manually takes time and creates opportunities for error that add up over months of filing.
Exemption Requirements
Exemption Requirements
Some transactions qualify for exemptions or deductions, but only with proper documentation. NTTCs and other certificates need to be collected from customers and kept on file. Without the paperwork, you lose the exemption even if the transaction legitimately qualified for it.
What Changes
Your GRT returns get filed on time with correct rates for every jurisdiction. You don’t have to track location codes, monitor rate changes, or remember filing deadlines. The work gets done and you get confirmation that it’s submitted. When rates change in any of the areas where you do business, the updates happen automatically.
When the state sends a notice or requests information, you have someone who understands GRT to respond appropriately. If your business changes in ways that affect your tax obligations, you find out before there’s a problem rather than after. Questions about what’s taxable, what qualifies for a deduction, or how to handle a specific situation get answered without extra charges.
No Penalties
No Penalties
Consistent, accurate filing eliminates late penalties and interest charges. Over the course of a year, avoiding even one or two late filings saves real money. Compliance becomes routine instead of something you’re constantly worrying about or scrambling to handle at the last minute.
Audit Support
Audit Support
If you get audited, having organized returns with proper documentation makes the process much less painful. Most GRT audits go better when records are in order and someone who knows the rules handles the response. You’re not trying to reconstruct what happened two years ago from memory.
Santa Fe's Small Business Bookkeeper
The Next Step:
A Quick Conversation
Tell us about your business and what you're dealing with. We'll listen, ask a few questions, and give you a straightforward quote.
