All states rely on some form of taxation to support their budget and New Mexico is no different. State government has steadily worked to make New Mexico more attractive for business location and expansion by reducing many taxes. As a net power exporter with vast mineral resources, New Mexico has been able to maintain a budget surplus while reducing many taxes. Taxes in New Mexico include gross receipts, income (personal and corporate), property (real and personal), un-employment, and workers compensation.
Property tax rates in the State of New Mexico are among the lowest in the nation. Effective rates in Dona Ana County are just over 1% of appraised value, depending on use and location. Unlike many states, inventory is not considered personal property and therefore not taxed. Likewise, autos are not considered personal property for property tax purposes and are only subject to annual license renewals in years following purchase.
New Mexico gross receipts (sales) tax rates vary by county and municipality. Gross receipts on the purchase of food and certain medical purchases are exempt. The state-portion rate is 5%. Total Grant County GRT rate is 6.1875% and combined state, county & municipality rate for Silver City, Bayard Santa Clara and Hurley is 7.25%.
New Mexico’s unemployment tax rate is 2% with a taxable wage base of $18,600. Workers’ compensation rates are $2.56 per $100 of payroll.
Although New Mexico has both personal and corporate income taxes, the rates are being reduced and are more than offset by the lower property taxes.
New Mexico is traditionally competitive in attracting entrepreneurs and small businesses, and has developed programs to entice organizations both large and small to locate – or relocate - in the Land of Enchantment. State and local governments have worked together to open avenues for economic development: provisions for tax incentives and programs for economic growth are widely available to attract new businesses and investors to this region.
There are basically four different types of incentives which are offered to businesses by communities:
1 Tax Abatement
2) Low Interest Loans
3) Grants or Gifts
4) Discounts on Local fees
Discussions of these will be held on a case by case basis with any business considering relocation to the area.
Welcome to southwest New Mexico's premier source of business and economic information!
Silver City, New Mexico (population 10,315) is the retail and service hub for Grant County (population 29,514). Located 112 miles from Las Cruces, 150 miles from El Paso, and 200 miles from Tucson, the community is centrally located in a four-county rural region of southwestern New Mexico.
Our communities are blessed with natural, cultural and professional resources to make your new or existing business more successful and your time away from the office more enjoyable!
The Gila Economic Development Alliance is here to help you move and build your business in southwest New Mexico. If you have questions not answered in this web site, contact us for a personal response at email@example.com !
Relocating Your Business
Our community is focused on being the best place for you to do your business. We are committed to helping you relocate and prosper here. We offer several incentives to help support you:
- A community with a sound infrastructure and the willingness to foster the success of your business
- A flexible and dedicated workforce willing to take on the challenge of adapting to your business
- A workforce with significant technical and managerial skills
No matter how big or small your business may be, there are many good reasons for you to relocate it to the area. We offer excellent human resources, an attractive location and a stress-free lifestyle. We also offer training program assistance through Western New Mexico University and the New Mexico Department of Workforce Solutions.