With your IRS Determination Letter in hand, make sure you familiarize yourself with
your state’s
requirements for recognizing your nonprofit’s tax-exempt status. This is an area
where requirements
vary state-by-state. Many states issue their own tax-exempt certificate that can be
used for sales
and use tax purposes, but it may require application and periodic renewal.
To file to obtain exemption from state income tax:
Not required
Upon obtaining your IRS Determination Letter, your organization is exempt from New Mexico corporate income tax and franchise tax.
More information: New Mexico Taxation and Revenue Department
To file to obtain Gross Receipts Tax Exemption:
Not required
If your IRS determination letter stipulates that your nonprofit is an educational or social organization, you are automatically exempt from New Mexico’s gross receipts tax. If you purchase taxable goods, you can apply for a Nontaxable Transaction Certificate (NTTC). You will file Form ACD-31050: Application for Nontaxable Transaction Certificates with the New Mexico Department of Taxation and Revenue.