New Mexico R&D Tax Credit Summary

R&D Tax Credit Available:

Yes - 'Research and Development Small Business' expired on June 30, 2015. It was replaced with 'Technology Jobs Tax Credit'


Eligible Entities:

C-Corporation, S-Corporations, LLCs, Partnerships


Deadline for Tax Filing:

Application is due within one year following the end of the calendar year in which the qualified expenditure was made.


Data Required to Compute Credit:

Claim Period New Mexico Qualified R&D Expenses (QREs)


Credit Carryforward:

3 Years


R&D Credit Summary:

  • Basic Technology Jobs Tax Credit is 4% of Qualified New Mexico Expenditures (or 8% if in a rural area)
  • Additional Technology Jobs Tax Credit is 4% of Qualified New Mexico Expenditures (or 8% if in a rural area)

Special Notes:

  • The Basic Tax Credit may be applied against the taxpayer’s compensating tax, gross receipts tax, or withholding tax due to the state of New Mexico. No taxpayer may claim an amount of approved basic credit for any reporting period that exceeds the sum of the taxpayer’s gross receipts tax, compensating tax, and withholding tax due for that reporting period.
  • The Additional Tax Credit may be applied against the taxpayer’s personal or corporate income tax. No taxpayer may claim an amount of additional credit for any reporting period that exceeds the amount of the taxpayer’s personal or corporate income tax due for that reporting period. A husband and wife may each claim only one-half the additional credit. A pass-through entity (PTE) approved for additional credit may pass the additional credit to its owners, partners or members using Form RPD-4136
Research Tax Credit
Important Links and Forms

Technology Job Credit Application

Contact Us for a No-Cost Assessment of your Federal and State Research Credit Estimate

Learn More About R&D Tax Credits