New Mexico Announces Dates for Upcoming Gross Receipts Tax Holiday

Jul 19th, 2012

The New Mexico Taxation and Revenue Department recently released updated guidance regarding the annual gross receipts tax holiday. N.M. Publication FYI-203 (Taxn. and Revenue Dept. July 2012). The 2012 gross receipts tax holiday is set to begin on Friday, August 3rd at 12:01 a.m. and end on Sunday, August 5th at midnight. The following items are exempt from tax during this time:

  • Clothing or shoes sold for less than $100; however, note that accessories and special clothing as well as footwear primarily designed for athletic activity or protective use not normally worn beyond the scope of athletic activity or protective use remain taxable.
  • Desktop, laptop, notebook, or tablet computers sold for no more than $1,000 and any associated equipment (such as monitors, speakers, printers, etc.) sold for $500 or less.
  • School supplies students normally use in a standard classroom for educational purposes.

Eligible items qualify for the exemption if the customer purchases the property during the tax holiday. Qualifying items purchased over the Internet will also be exempt from tax if (1) the item is both delivered to and paid for by the customer during the exemption period; or (2) the customer orders and pays for the item and the seller accepts the order during the exemption period for immediate shipment, even if delivery is made after the exemption period.