Taxes in New Mexico
Every state-level tax in New Mexico, in one place—income, sales, property, corporate, estate, transfer, and excise taxes. Figures sourced from the IRS, U.S. Census Bureau, and Tax Foundation.
New Mexico drivers catch a genuine break at the pump: the state's gas tax ranks 49th out of 51, placing it near the very bottom nationally. For anyone relocating here or budgeting for a long commute, that ranking is the headline — fueling up costs less in tax terms than it would in nearly every other state. Only two jurisdictions rank lower, which means the savings are real rather than marginal. This single distinction shapes how the state's tax character reads for residents: whatever else their obligations look like, the cost of getting around by car is among the lightest in the country.
State income tax
5.90% 5 brackets · graduated.
Sales tax
The combined state + local sales tax rate is 7.68%. State rate 4.88% plus an average 2.80% local.
Estate & inheritance tax
New Mexico imposes no state estate or inheritance tax—only the federal estate tax applies.
Real estate transfer tax
New Mexico levies a transfer tax of 0.000% — No state transfer tax.
Cigarette Tax
New Mexico levies a cigarette tax of $2.00 per pack of 20. Federal excise adds $1.01 per pack.
Gas Tax
New Mexico levies a gas tax of 18.88¢ per gallon. Federal excise adds 18.4¢ per gallon. Excludes local taxes and environmental/carbon-related costs.
Beer Tax
New Mexico levies a beer tax of $0.410 per gallon. Federal excise adds $0.113–$0.581 per gallon depending on brewery size.
Wine Tax
New Mexico levies a wine tax of $1.700 per gallon. Federal excise adds $1.07 per gallon (11% still wine). MS, NH, PA, UT, WY are control states with no published excise rate.
Spirits Tax
New Mexico levies a spirits tax of $6.060 per gallon. Federal excise adds $5.40 per gallon (40% ABV). NH and WY are control states with an effective $0.00 rate.
Property tax by county
The state's median county effective property tax rate is 0.55%. Compare counties below for local rates.
Counties in New Mexico by property tax rate
| County | Effective rate | Median home value |
|---|---|---|
| McKinley County | 2.00% | $78,700 |
| Bernalillo County | 0.90% | $292,900 |
| Cibola County | 0.80% | $125,400 |
| Sandoval County | 0.73% | $313,800 |
| Mora County | 0.72% | $122,600 |
| Union County | 0.70% | $122,700 |
| San Juan County | 0.68% | $193,800 |
| Doña Ana County | 0.67% | $220,800 |
| Valencia County | 0.62% | $223,000 |
| Quay County | 0.61% | $87,200 |
| Socorro County | 0.61% | $137,500 |
| Chaves County | 0.60% | $156,400 |
| De Baca County | 0.60% | $187,500 |
| Curry County | 0.59% | $171,200 |
| San Miguel County | 0.57% | $188,500 |
| Otero County | 0.55% | $162,700 |
| Los Alamos County | 0.55% | $495,800 |
| Luna County | 0.54% | $128,000 |
| Lincoln County | 0.53% | $233,200 |
| Colfax County | 0.52% | $167,200 |
| Sierra County | 0.52% | $152,600 |
| Eddy County | 0.52% | $212,600 |
| Santa Fe County | 0.48% | $446,300 |
| Guadalupe County | 0.48% | $110,000 |
| Hidalgo County | 0.48% | $111,000 |
| Lea County | 0.48% | $184,000 |
| Grant County | 0.46% | $175,600 |
| Roosevelt County | 0.45% | $135,800 |
| Torrance County | 0.45% | $159,700 |
| Harding County | 0.44% | $70,000 |