Per statute, the Taxation and Revenue Department (TRD) calculates the rate through a formula each year, and TRD must inform each processor of the rate on or before June 15th of each year.
What is the tax rate?
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Frequently Asked Questions
Are there any tax incentives related to this program?
No.
Are there any tax credits related to this tax program?
Natural Gas Processor Tax No. Severance Tax - Non Oil & Gas A taxpayer may qualify for a credit against current coal severance taxes if the coal is severed from Indian tribal land or if a tax is imposed on the privilege of severing coal from Indian tribal land. This...
What is the tax-due date for the Natural Gas Processors tax?
The return and the payment are due on or before the 25th day of the month after the close of the plant processing month.
What is the purpose of the resource excise tax?
The resources excise tax (Chapter 7, Article 25) provides revenue for public purposes by levying a tax on the privilege of severing and processing natural resources within New Mexico.
In general, on which natural resources is the resources excise tax imposed?
Generally, the resources excise tax is imposed on: timber and any timber product and any metalliferous or non-metalliferous mineral product, combination, or compound severed in New Mexico excepting oil, natural gas, liquid hydrocarbons, and carbon dioxide.
If I file resources excise tax, do I have to file the severance tax?
If you file the resources excise tax, you must file a severance tax report. If the taxpayer is not the owner of the natural resource, then the lessee must pay the tax.
What is the definition of “processing’?
“Processing” means smelting, leaching, refining, reducing, compounding or otherwise preparing for sale or commercial use any natural resource in such a way that its character or condition is materially changed in mills or plants located in New Mexico.
Can you explain the three sections of the resources excise tax report, RPD-41193?
The three sections of the resources excise tax report are: Section A: “Resources Tax” - complete this section if the entity is the owner of the land where the extracting or felling is taking place; Section B: “Processors Tax”- applies if the entity owns the land and...
What are the resources tax rates?
Resources tax rates are: For all natural resources except potash and molybdenum, the rate is three-fourths of one percent (3/4% or 0.75). The rate for potash is one-half of one percent (1/2% or 0.5). The rate for molybdenum is one-eighth of one percent (1/8% or...