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New Mexico State University

New Mexico Business & Tax Incentives

The State of New Mexico has steadily worked to create a number of attractive incentive programs that offer businesses funding resources, as well as generous tax breaks. Incentives available to new and existing businesses include:

Job Training Incentive Program (JTIP)

The Job Training Incentive Program funds classroom and on-the-job-training for newly created jobs in expanding or relocating businesses for up to six months. The program reimburses 50 to 70 percent of employee wages and required travel expenses. The New Mexico Economic Development Department's recent study suggests that many program trainees move on to higher-wage jobs.

For more information on eligibility and the application process, visit the New Mexico Economic Development Department.

Industrial Revenue Bonds (IRB)

New Mexico communities can issue IRBs to exempt businesses from property taxes on land, buildings, and equipment. Businesses creating new facilities can receive a property tax exemption for up to 20 years.

High-Wage Jobs Tax Credit

Created in 2004, this tax credit equals 10 percent of the wages and benefits for each new job paying a minimum of $28,000 per year in areas with populations less than 40,000 persons. Qualified employers can receive the credit for up to four years.

For more information on tax incentives, visit the New Mexico Economic Development Department.

Rural Jobs Tax Credit

For every job created in a rural area, employers can receive a maximum credit of $1,000 per job for two years.

For more information on tax incentives, visit the New Mexico Economic Development Department.

Manufacturers Investment Tax Credit

Manufacturers may qualify for a tax credit equal to five percent of the value of qualified equipment imported to New Mexico.

For more information on tax incentives, visit the New Mexico Economic Development Department.

Business Assistance Programs, Industry-Specific Incentive Packages, & Tax-Abatement Programs

  • 25% Film Production Tax Rebate
  • Aerospace Research & Development Tax Deduction
  • Aircraft Refurbishing or Remodeling Tax Deduction
  • Border Resident Tax Exemption
  • Double Weight Sales Factor
  • Film Investment Loan Program
  • Investment Tax Credit of Manufacturer
  • Property Tax Exemption
  • Research and Development Small Business Tax Credit
  • Renewable Energy Production Credit
  • Research and Development Gross Tax Reduction
  • Rural Software Gross Receipts Tax Deduction
  • Spaceport Gross Receipts Tax Deduction
  • Technology Job Tax Credit
  • Web Hosting Gross Receipts Tax Deduction

For more information, visit NM partnership.