New Mexico Child Tax Credit
Nearly 300,000 families are expected to benefit
In 2023, Gov. Michelle Lujan Grisham signed into law an expansion of a new child tax credit available to New Mexicans who file a state Personal Income Tax return. Families will be able to claim the credit for the first time when they file their 2023 PIT returns.
Child tax credits are an effective tool for lowering child poverty rates, as was shown with the temporary expansion of the federal credit in 2021.
“We know child tax credits reduce childhood poverty, so this is another critical step to lift up New Mexico families.”
— Governor Michelle Lujan Grisham.
The New Mexico credit varies by income level, with the largest credits available to low-income families. And it is refundable, so families can receive the full amount they are eligible for regardless of their tax liability.
Instructions are available in the 2023 Personal Income Tax (PIT-1) packet, which is available in the Income Taxes folder on the Forms & Publications page, in many public libraries around the state and in any Taxation & Revenue district office.
The credit may be claimed for each “qualifying child” as defined by the federal Internal Revenue Code. The amounts vary based on family income as in the chart below.
|
Adjusted Gross Income Over |
But not over |
Credit per child |
|
0 |
$25k |
$600 |
|
$25k |
$50k |
$400 |
|
$50k |
$75k |
$200 |
|
$75k |
$100k |
$100 |
|
$100k |
$200k |
$75 |
|
$200k |
$350k |
$50 |
|
$350k |
|
$25 |