New Mexico Business License Center

Important Points:

• A state business license is required for most businesses in New Mexico.
  • Occupational licenses are obtained from the municipality or the county in which you will do business.
• Most businesses must register with the New Mexico Taxation and Revenue Department.
  • If you hire employees, you must register with the New Mexico Department of Labor.
  • If your business needs to provide Workers Compensation coverage, you must file quarterly reports with the New Mexico Taxation and Revenue Department.

How to Get a Business License in New Mexico:

• If you plan to hire at least one employee, contact Internal Revenue Service to get an Employer ID Number (EIN), and to request your w-4, SS-4, Circular E and Publication 334 forms.
• Register your business entity online with the Department of Taxation & Revenue.
• Get more business regulation and licensing information from the New Mexico Regulation & Licensing Department.

New Mexico State Sales Tax:

• New Mexico does not have sales tax.
  • Instead, it has a 5% gross receipt tax that most businesses pass along to customers.
  • Most food purchases are not taxed, see tax exceptions.
  • Certain medical services are not taxed.

Useful links:

• Starting Out: A Guide to Creating Your Own New Mexico Business (PDF)
• New Mexico Regulation and Licensing Department
• SBA New Mexico
• New Mexico Small Business Development Center
• New Mexico Secretary of State
• SCORE Counselors to America’s Small Business