Taxes

CRS Filers – File Early, Pay on Time

The New Mexico Tax and Revenue Department has announced that users of the online filing system can file their reports early but have taxes debited from their bank account on the due date.   File your report before the deadline to avoid website congestion on the 25th of the month.

Access the efile system at www.tax.newmexico.gov/Online-Services.

Small Business Health Care Tax Credit for Small Employers

Millions of small employers received postcards from the IRS beginning in April that alerted them to the new Small Business Health Care Tax Credit and encouraged them to check their eligibility. Even if you didn’t receive a postcard, your business still may be eligible.

Eligibility Rules

  • Providing health care coverage. A qualifying employer must cover at least 50 percent of the cost of health care coverage for some of its workers based on the single rate.
  • Firm size. A qualifying employer must have less than the equivalent of 25 full-time workers (for example, an employer with fewer than 50 half-time workers may be eligible).
  • Average annual wage. A qualifying employer must pay average annual wages below $50,000.
  • Both taxable (for profit) and tax-exempt firms qualify.

Amount of Credit

  • Maximum Amount. The credit is worth up to 35 percent of a small business’ premium costs in 2010 (25% for tax-exempt employers). On Jan. 1, 2014, this rate increases to 50 percent (35 percent for tax-exempt employers).
  • Phase-out. The credit phases out gradually for firms with average wages between $25,000 and $50,000 and for firms with the equivalent of between 10 and 25 full-time workers. Learn more

New Mexico Gross Receipts / Compensating / Withholding Tax e-Filing

If you pay $20,000 or more in CRS taxes, you are required to file online starting August 25, 2010. If you pay $10,000 or more, you are required to file online starting January 25, 2011. And all monthly filers, including “0” filers, will be required to file online starting August 25, 2011. So start early, and e-file in style.  According to 3.1.4 NMAC, it is mandatory to e-file your monthly CRS (Combined Reporting System) returns. We are here to help you if you are not e-filing already. Beginning in August 2010, all filers with tax payments due over $20,000 must file their monthly returns online. In January 2011 all filers with monthly tax payments of over $10,000 will have to file online. By July 2011 all monthly filers will be required to file online.

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