To maintain your 501(c)(3) Nonprofit Public Charity in good standing in New Mexico, follow this advice.

In order to keep your 501(c)(3) nonprofit company in New Mexico, you must:

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A. Exemption from State Income Tax

When your nonprofit obtains its 501(c) decision letter from the IRS, it is instantly excluded from paying corporation income taxes.

You should register with the New Mexico Taxation and Revenue Department if you want to apply for a Gross Receipts Tax Exemption (below). Fill out form ACD-31015 on the Taxation and Revenue Department’s website or register online to register for state tax accounts.

B. Exemption from Gross Receipts Tax

Most NGOs in New Mexico will be required to pay Gross Receipts Taxes. Educational and social organisations are the only groups that are normally exempt from paying gross receipts taxes.

Read the Nonprofit Gross Receipts Brochure and Tax Information for Nonprofits publications produced by the New Mexico Taxation & Revenue Department to learn more about the Gross Receipts Tax.

A. Federal Annual Returns

The IRS requires most tax-exempt charitable organisations to submit an annual return (Check the IRS website for a list of exceptions).

An organization’s yearly gross receipts dictate which form should be utilised to submit the annual federal return.

The IRS defines ‘gross receipt’ as “the total sums the organisation received from all sources throughout its yearly accounting period, before deducting any expenditures or expenses.”

If you have any concerns, please contact the IRS at

For example, if the fiscal year closes on December 31st, the form 990 is due on May 15th.

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NOTE: If an organisation fails to complete Form 990 for three years in a row, it will lose its tax-exempt status.

B. Unrelated Business Profits

If an organisation earns more than $1,000 from a trade or company that is unrelated to the organization’s declared purpose, it must submit Form 990-T to pay taxes on that revenue.

If your organisation anticipates to pay $500 or more in unrelated business income taxes for the year, you must pay a quarterly estimated tax on the unrelated business income using Form 990-W.

Any organisation that has formed must have a registered agent with a New Mexico office location. You must inform the Secretary of State whenever your registered agent or their office address changes so that your Articles of Incorporation may be revised. Changes to business information, such as registered agent, may be altered using the Secretary of State’s Online Business Portal.

Your company may be terminated if you fail to inform the Secretary of State of this change.

Nonprofits in New Mexico must submit up to two reports each year:

The majority of NGOs in New Mexico will not need a general business licence at the state level. Check with your city or county clerk to see if there are any local restrictions you must follow.

If your organisation intends to hold charity games such as bingo or raffles, you must get a licence from the New Mexico Gaming Control Board. On the Gaming Control Board’s website, you may find additional information regarding charity gaming licences as well as an application form.

Before collecting donations or within 30 days of founding your organisation, charitable New Mexico charities must register with the New Mexico Attorney General. This registration, as well as future renewals, may be accomplished quickly online at the Attorney General’s website.

If your organisation intends to hire people, you must register with the New Mexico Department of Workforce Solutions as well as the New Mexico Taxation and Revenue Department.

The New Mexico Department of Workforce Solutions allows nonprofits to register for unemployment taxes online. The New Mexico Taxation and Revenue Department allows nonprofits to register online for withholding and workers compensation taxes.

To comply with federal requirements governing 501(c)(3) organisations, you must make the following papers available to any member of the public who wants them:

Your company is NOT required to share the following papers or information with the general public:

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