New Mexico 1099 Filing Requirements
Understand your state-level 1099 responsibilities. This guide details New Mexico's specific process for preparing and submitting required tax forms.
Form 1099 is an information return used by businesses to report various types of payments made during the year. These payments are for services performed by someone who is not an employee or for other specific transactions like rent, prizes, or awards.
The most common versions of this form are the 1099-NEC for nonemployee compensation and the 1099-MISC for miscellaneous income. If a business pays an independent contractor $600 or more for services in a calendar year, it must issue a Form 1099-NEC to that contractor and file a copy with the IRS.
Required Information and Forms for New Mexico Filing
New Mexico requires businesses to file copies of certain federal 1099 forms with the New Mexico Taxation and Revenue Department (TRD). Form 1099-NEC, for nonemployee compensation, must always be filed directly with the TRD if it reports payments connected to work performed in New Mexico. For Form 1099-MISC, New Mexico participates in the Combined Federal/State Filing Program, where the IRS automatically forwards the information to the state. A separate state filing for a 1099-MISC is only necessary if New Mexico state tax was withheld.
Businesses must first collect specific information from each payee using Federal Form W-9, “Request for Taxpayer Identification Number and Certification.” The data points to gather from the W-9 are the payee’s full legal name, their current mailing address, and their Taxpayer Identification Number (TIN), which could be a Social Security Number (SSN) for an individual or an Employer Identification Number (EIN) for a business.
New Mexico also has Form RPD-41072, the “Annual Summary of Withholding Tax for Payees,” which summarizes your 1099 payment information. This form should be completed and kept for your business’s records. It only needs to be sent to the TRD if you withheld New Mexico income tax or if you are filing your 1099s by paper mail.
The New Mexico 1099 Submission Process
The deadline for submitting your 1099 forms to the New Mexico TRD is January 31. If the date falls on a weekend or holiday, the deadline shifts to the next business day.
New Mexico mandates electronic filing for any business submitting 25 or more 1099 forms. The required method is through the state’s online portal, the Taxpayer Access Point (TAP). To use this system, you must first create an account. Once logged in, you can upload digital copies of your required 1099 forms.
A mail-in option is available only for businesses filing fewer than 25 forms. To file by mail, you must send paper copies of the required 1099s along with the completed Form RPD-41072. This packet should be mailed to the New Mexico Taxation and Revenue Department, and using a trackable mailing service is recommended to confirm delivery.
After your submission is processed, you will receive confirmation. If you file through the TAP portal, a digital confirmation will be generated and stored in your account history. For mail-in submissions, confirmation is less direct, which is why using certified or tracked mail is a recommended practice for creating a delivery record.