In New Mexico, the taxable price of your new vehicle will be considered to be $5,000, as the value of your trade-in is not subject to sales tax. For many years, states argued that they were losing money by not being able to collect sales tax on Internet sales. There are a wide variety of business taxes that your New Mexico LLC will need to pay.

Businesses based out-of-state shipping to customers in New Mexico will pay tax at the 5.125% state rate. New Mexico is considered one of the 10 states with the worst business tax climate for sales tax (reference: Tax Foundation). The Lea County Sales Tax is collected by the merchant on all qualifying sales made within Lea County; Groceries are exempt from the Lea County and New Mexico state sales taxes New Mexico is the latest of more than 35 states to adopt economic nexus and impose a sales tax collection requirement on remote businesses that have a certain amount of economic activity in the state.. The New Mexico's tax rate may change depending of the type of purchase. Just as with sales tax or any other type of business tax, New Mexico can only compel sellers to pay gross receipts tax on sales to New Mexico customers if those businesses have a nexus in the state. The New Mexico Business Taxes Your LLC Will Pay. Internet sales tax is a tax on Internet-based services. Nexus Regulations in New Mexico. New Mexico’s annual sales tax holiday is unusual in that retailers are not required to participate in the holiday if they so choose. This means that you save the sales taxes you would otherwise have paid on the $5,000 value of your trade-in. You will also need to pay federal, self-employment and possibly payroll tax to the IRS.

Please refer to the New Mexico website for more sales taxes information. Information Needed to Register for a Sales Tax Permit in New Mexico. New Mexico state rate(s) for 2020. The Lea County, New Mexico sales tax is 5.50%, consisting of 5.13% New Mexico state sales tax and 0.38% Lea County local sales taxes.The local sales tax consists of a 0.38% county sales tax.. Some of the New Mexico tax type are: Consumers use, rental tax, sales tax, sellers use, lodgings tax and more.

Before you begin the process of registering with the state, make sure you have access to the following information: Federal tax ID, typically called the EIN, issued by the IRS Knowledge of your business entity structure Business owner information These include tax that’s payable to the New Mexico government, like New Mexico sales taxes and New Mexico state tax.