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New Mexico Tax Law Questions & Answers
1 Answer | Asked in Tax Law and Collections for New Mexico on
Q: Can state of NM come after tax debt 10 years later?

My husband use to live in NM and now lives in texas. Last month we received a letter from the state saying they were putting a lien on our house for a $13000 unpaid tax debt from 2013. My husband said he didn't even file taxes that year but the state claims he did and also claims he made a... View More

James L. Arrasmith
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answered on Apr 16, 2024

It sounds like you are in a challenging situation with the New Mexico tax authorities. Here are a few key points and suggestions:

1. Statute of limitations: Generally, states have a limited time period to assess and collect taxes, known as the statute of limitations. For New Mexico, the...
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1 Answer | Asked in Tax Law for New Mexico on
Q: A woman from the NM Tax Office wants Clients addresses to verify out of state sales. Do I have to provide them?

To provide them means giving them access to thousands of clients contact information.

James L. Arrasmith
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answered on Mar 13, 2024

In general, businesses are required to maintain records and provide information to state tax authorities to verify tax compliance, including the collection of sales tax on out-of-state sales. However, there are a few important considerations:

1. Verify the request: Ensure that the request...
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1 Answer | Asked in Tax Law for New Mexico on
Q: My uncle plans to gift me a $25,000 check, will this cause me problems with the IRS since I'm self-employed?

Is there a smarter way to handle this? I know the bank will report this deposit to the IRS and I don't want it to intrigue the IRS or trigger and audit, but splitting this up into several checks would be considered "structuring" and that's illegal. What if my uncle sent the... View More

James L. Arrasmith
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answered on Feb 22, 2024

Receiving a $25,000 check as a gift from your uncle shouldn't inherently cause problems with the IRS, especially since you're self-employed. The IRS allows individuals to give a gift of up to $16,000 per recipient per year without needing to report the gift. Since the amount exceeds this... View More

1 Answer | Asked in Criminal Law, Employment Law, Tax Law and Personal Injury for New Mexico on
Q: employer keep $190.000 in unpaid overtime and $59,000 in wage theft. How can I place criminal charges on them in NM ?

Gross wage theft, unpaid overtime, retaliation, eviction, disposal of personal belongings, 2 years plus of employment, and rent was deducted from pay check. While on call 24/7, they did not pay taxes and more.

James L. Arrasmith
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answered on Dec 25, 2023

In New Mexico, if you're dealing with unpaid overtime, wage theft, and other employment-related issues, there are several steps you can take. First, consider filing a wage claim with the New Mexico Department of Workforce Solutions. This department handles wage disputes and can investigate... View More

1 Answer | Asked in Arbitration / Mediation Law, Business Law and Tax Law for New Mexico on
Q: What do you file for business taxes and who will review your papers if you suspect preparer fraud

Third party name on taxes and my step father Also worked at the same company preparer works for and preparer worked for x husband's company meanwhile I am a W2 workers but somehow they changed my income 73,000

James L. Arrasmith
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answered on Dec 25, 2023

If you suspect preparer fraud in your business tax filings, it's important to address this issue promptly and thoroughly. First, review your tax returns carefully to understand the discrepancies, especially if your income was inaccurately reported.

For addressing preparer fraud, you...
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1 Answer | Asked in Tax Law, Agricultural Law, Arbitration / Mediation Law and Business Law for New Mexico on
Q: In the case of Agricultural Deductions 7-9-58 for auctioneers will this just cover the buying and selling of livestock?

A truck driver is exempt for hauling feed for live stock under this code. Will the the truck driver be exempt when hauling to and from the auction?

James L. Arrasmith
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answered on Dec 1, 2023

The specific Agricultural Deductions code you're referring to seems to be designed to provide tax benefits for activities directly related to agriculture, such as the buying and selling of livestock. In the context of auctioneers, this would typically cover transactions involving livestock.... View More

1 Answer | Asked in Gov & Administrative Law, Government Contracts, Public Benefits and Tax Law for New Mexico on
Q: Statute of limitations happened, post that state had me sign waiver in managed audit , breach or not of 14th amendment

They should have known the limitation of their own rules and statutes,

James L. Arrasmith
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answered on Oct 13, 2024

It sounds like you're facing a challenging situation with the waiver you signed after the statute of limitations had expired. When a state requires you to sign such a waiver, it's important to understand your rights and whether the timing affects its validity.

The 14th Amendment...
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1 Answer | Asked in Tax Law, Business Formation and Business Law for New Mexico on
Q: "Do I owe taxes for a $3 Wise transfer before dissolving my NM LLC? What’s the average cost for dissolution?"

I hope you're doing well. I’m considering dissolving my LLC, which is based in New Mexico. The LLC has not generated any income, except for a personal transaction of $3 via Wise.

I appreciate your insight and guidance on this matter.

James L. Arrasmith
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answered on Sep 30, 2024

Dissolving your LLC in New Mexico is a straightforward process, but you should ensure all financial obligations are addressed before doing so. The $3 Wise transfer you mentioned sounds like a personal transaction, and if the LLC didn’t generate any income, it's unlikely to have significant... View More

1 Answer | Asked in Tax Law for New Mexico on
Q: My son is receiving an inheritance from his grandmother, if I open a joint account with him will I have to pay taxes

It will be 57000

James L. Arrasmith
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answered on Jul 26, 2024

If your son is receiving an inheritance of $57,000 from his grandmother and you open a joint account with him, the inheritance itself is not subject to federal income tax. Generally, inheritances are not considered taxable income for federal tax purposes.

However, placing the inheritance...
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1 Answer | Asked in Intellectual Property, Land Use & Zoning, Real Estate Law and Tax Law for New Mexico on
Q: I found property but I have done research and have found out that the man who lived there has passed away in 2018,and

Apparently he didn't have any kids people that he would have left it to as far as I've been told it's been vacant for a very long time and nobody's really done anything except for them putting a sign that says substandable with black letters on the board that says no rest not... View More

Anthony M. Avery
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answered on May 22, 2023

Hire a NM attorney to search the title, then check on tax payments. An heirship determination will have to be made. If no tax sale or foreclosure is imminent, then try to purchase a Deed from all tenants in common heirs. Property may not be worth the trouble.

1 Answer | Asked in Tax Law for New Mexico on
Q: does a state tax lien affect the moving of a mobile home in state of new mexico

Need to move a mobile home but there is a gross receipts tax lien does it affect the mobile home in state of new mexico

James L. Arrasmith
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answered on May 7, 2023

Yes, a state tax lien can affect the moving of a mobile home in the state of New Mexico. The lien gives the state the right to seize and sell the mobile home in order to satisfy the outstanding tax debt. It is important to resolve the tax lien before attempting to move the mobile home to avoid any... View More

1 Answer | Asked in Tax Law for New Mexico on
Q: I filled a 1099 tax return in 2014 thru H&R BLOCK paid $1058.00 fed IRS got back & $178.00 from state/ filed 2022 taxes

state it said I suppose to get $374.00 back from state but State sent letter they kept $374.00 for 2014 gross recipe taxes HOW DO FIND OUT what's going on with that H&R BLOCK said they made no mistakes on 2014 tax return

James L. Arrasmith
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answered on Mar 4, 2023

If you received a letter from the state indicating that they kept $374.00 of your refund for 2014 gross receipt taxes, it is possible that there was an outstanding tax liability or other issue related to your 2014 tax return. Here are some steps you can take to investigate further:

Review...
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1 Answer | Asked in Tax Law for New Mexico on
Q: Can we claim foster children on taxes who were in our care just under 6 months last year, 2 months longer than anyone
James L. Arrasmith
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answered on Mar 4, 2023

Under tax law, you may be able to claim foster children as dependents on your taxes if they meet certain criteria, including the length of time they were in your care. To claim a foster child as a dependent, the child must have lived with you for more than half the tax year and meet other... View More

2 Answers | Asked in Bankruptcy and Tax Law for New Mexico on
Q: should i take care of irs debt before filing for bankruptcy?

I want to file for bankruptcy. I think i was a victim of a scam. I have not filed my taxes for 2020 and 2021 and know that I owe $140K for 2020 and will owe for 2021 and 2022. I wont be able to pay those in my lifetime. I took out loans and a lot of my retirement funds in 2020 and 2021 with a scam.... View More

David Luther Woodward
David Luther Woodward
answered on Jul 11, 2022

You should go see a good bankruptcy lawyer because you sound like a candidate for relief. On a board like this individualized advice is impossible.

When you go to the lawyer be prepared to complete a questionnaire that will list all your assets and all debts. Your best tax relief can come...
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1 Answer | Asked in Immigration Law and Tax Law for New Mexico on
Q: Non-citizen couple have SSNs by temporary work in US. Can they continue filing taxes from abroad without any US income?

A non-citizen (no green cards either) couple have 4 children born in US and parents have SSNs because both spouses had temporary work authorizations during their stay in the US. How can the couple claim their child tax credit when they are not in the US any more? A US based income or permanent... View More

Agnes Jury
Agnes Jury
answered on May 4, 2021

This is more of a question for a Certified Public Accountant than an Immigration attorney. Best wishes!

1 Answer | Asked in Family Law, Tax Law, Child Custody and Identity Theft for New Mexico on
Q: my daughter dad took her and I haven't seen or spoken to her in 1 yr 7 months. He is not on the birth certificate
D. Mathew Blackburn
D. Mathew Blackburn
answered on Feb 4, 2020

I'm sorry to hear about that. You've got a pretty complicated issue you may be better off going directly to an attorney and having a private consult with them. I'm not sure you're going to get useful answers to your situation in a forum such as this.

1 Answer | Asked in Tax Law for New Mexico on
Q: If I was receiving Medicaid, and earned income far below Federal Poverty figure, how can I owe NM Gross Receipts tax?
Concetto Kirk Di Giacomo
Concetto Kirk Di Giacomo
answered on Dec 28, 2019

NM Gross Receipts Tax is a unique tax in that anyone who sells a good or service in New Mexico owes it. It’s similar to a “sales tax” but is only levied on the seller and not the buyer. While there are a few exceptions, unless you qualify for one of them and timely file an NTTC, you are... View More

1 Answer | Asked in Real Estate Law and Tax Law for New Mexico on
Q: How do I go about filing for the homestead exemption in my state of New Mexico when County Assessor never heard of it?

This is for assessing property taxes.

Concetto Kirk Di Giacomo
Concetto Kirk Di Giacomo
answered on Dec 28, 2019

I’m not entirely sure what you’re asking. The “homestead exemption” in New Mexico offers protection when debts are being collected from an individual...creditors are unable to force someone from their home to pay a debt (up to $60,000 is protected from creditors in these situations, see... View More

1 Answer | Asked in Tax Law for New Mexico on
Q: The question is about requirements for NTTCs in NM when selling art on commission & statute of limitations for audits.

I am an artist in NM. In 2013 & 2014 I sold work through a gallery. They collected gross receipts tax from buyers & paid taxes on the full amount of each sale. I reported the income I received from sales on federal & state returns. Recently I was audited by NM Tax. & Rev. They... View More

Concetto Kirk Di Giacomo
Concetto Kirk Di Giacomo
answered on Dec 27, 2019

Based on the information you provided, you are actually in a somewhat complicated situation. You’re going to need to “get moving” soon, because there’s a 60-day within which you need to apply for a retroactive exemption to the NTTC. This pamphlet should get you started:... View More

1 Answer | Asked in Tax Law for New Mexico on
Q: Can I use funds from a Coverdell Education Savings Account to pay for transportation costs for a special needs student?

My son is enrolled in the school district's post high school special needs transition program. This program requires transporting him to different job sites throughout the week. The school district does not provide transportation to the program sites. Transportation is provide by the city... View More

D. Mathew Blackburn
D. Mathew Blackburn
answered on Aug 24, 2019

Yes, transportation expenses for the beneficiary that are required as part of the educational program are considered qualified expenses. Make sure you retain receipts and the information regarding the necessity of the transportation in case of audit.

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