The Kiplinger Tax Map: Guide to State Income Taxes, State Sales Taxes, Gas Taxes, Sin Taxes
Tool | Updated October 2019

State-by-State Guide to Taxes

Compare state tax rates and rules — on income, ordinary purchases, gas, sin products, property, and more — across the U.S.

New Mexico

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The Bottom Line
Flag of New Mexico

Tax Friendly

Personal income tax rates top out at 4.9% on taxable income over $16,000 for single filers and over $24,000 for married couples filing jointly. And, hang in there until you’re 100 and your income taxes are waived altogether.

Property taxes are modest, but sales taxes lean high.

Sales Tax

5.13% state levy. Localities can add as much as 4.13%, and the average combined rate is 7.82%, according to the Tax Foundation. New Mexico’s tax is a gross receipts tax that covers most services.

Income Tax Range

Low: 1.7% (on up to $5,500 of taxable income for single filers and $8,000 for joint filers)

High: 4.9% (on taxable income over $16,000 for single filers and over $24,000 for married couples filing jointly).

Effective tax rate: 3.45% for single filers, 4.6% for joint filers.

Active-duty pay for service members is exempt.

Motor Fuel Taxes

Gasoline: $0.188 per gallon.
Diesel: $0.2288 per gallon.

Property Taxes

In New Mexico, residents pay an average of $830 in taxes per $100,000 of assessed home value.

Vehicle Taxes

Motor vehicle excise tax due on purchase: 4%.

Sin Taxes

Cigarettes and little cigars: $1.66 per pack (unless bought in a carton with 25 packs; then it’s $2.08 per pack)
Other tobacco products: 25% of purchase price
Vapor products: $0.50 per cartridge for closed systems ;12.5% of wholesale price on open containers of e-cigarette liquid.
Beer and hard cider: $0.41 per gallon
Wine: $1.70 per gallon
Liquor: $6.06 per gallon

Taxes On Wireless Service

13.49%

Inheritance and Estate Taxes

None.

Oddball Tax

If you are over 100 years old and are not a dependent, you’re exempt from state income tax.

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