See Chapter 7, Article 29 NMSA 1978
Where can I find the statutory explanation of severance tax?
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Frequently Asked Questions
What is the purpose of the oil and gas severance tax?
It taxes all products severed and sold in New Mexico.
On what is the oil and gas severance tax imposed?
The tax is imposed on the taxable value of the product.
What is the oil and gas severance tax rate?
On all products, the tax rate is three and three-fourths percent (3.75%) of the taxable value.
Are there any tax incentives related to the oil and gas severance tax program?
Tax-incentive rates do exist per statute but may or may not be in effect. Tax incentives are included within the Enhanced Oil Recovery Act (Chapter 7, Article 29A) and the Natural Gas and Crude Oil Production Incentives Act (Chapter 7, Article 29B) Please contact the...
Are there any tax credits related to the oil and gas severance tax program?
You may qualify for a credit against current severance taxes if the products are severed from Indian tribal land or imposed on the privilege of severing products from Indian tribal land. This credit is the intergovernmental production tax credit.
What is the due date for the oil and gas severance tax?
File the return and the payment on or before the 25th day of the second month after the month of production.
Where can I find the statutory explanation of the oil and gas conservation tax?
Review specific information on Chapter 7, Article 30 NMSA 1978
What is the purpose of the oil and gas conservation tax?
The conservation tax is a tax on all products severed and sold in New Mexico.
On what is the oil and gas conservation tax imposed?
The tax is imposed on the taxable value of the product.