The state of New Mexico has a broad economy and a welcoming environment for businesses. You might be wondering whether you have to file an annual report if you own a business in the state or are considering opening one. No, is the response. New Mexico does not demand that businesses submit yearly reports to the Secretary of State, in contrast to many other states.
This does not imply that New Mexico companies are totally immune from filing requirements, though. Businesses must submit an annual report of their gross receipts to the state’s Department of Taxation and Revenue. Taxpayer Access Point (TAP), the state’s internet gateway, is used to submit this report. The annual report has to be submitted by April 15th.
Businesses in New Mexico could also need to get a business license in addition to the gross revenue report. Depending on the kind of business and the area, different business licenses in New Mexico cost different amounts. A company license typically costs $35 to $100 annually. There can be additional licensing costs and restrictions in some cities and counties. NM TAP Account Cancellation
You can quickly cancel your account online if you no longer need to submit gross receipts reports or if you need to close your New Mexico TAP account for any other reason. Log into your account and choose “Close Account” from the left-hand menu to discontinue your NM TAP membership. Confirm your cancellation by following the on-screen instructions. Compared to CRS, EIN Whether a company’s EIN (Employer Identification Number) and CRS (Combined Reporting System) number are the same is another prevalent query from business owners. No, an EIN is a federal tax identification number given to firms with employees by the IRS. Businesses utilize the CRS number, a state tax identification number, to submit their state tax returns. Both an EIN and a CRS number are required if you own a business in New Mexico. Do Independent Contractors in New Mexico Need a Business License?
Unless they are doing business under a trade name, independent contractors in New Mexico are not obliged to seek a business license. An independent contractor must register their business name with the state and receive a business license if they are operating under a name other than their legal name. Additionally, if an independent contractor earns more than $4,000 in gross receipts annually, they must still file gross receipts reports.
In conclusion, despite not requiring annual reports, New Mexico nevertheless has reporting standards that must be met by corporations. Businesses must submit annual gross revenue reports, and depending on the sort of business and the region, some may also require a business license. Additionally, independent contractors using a trade name must obtain a business license.