NM Technology Jobs and Research & Development Tax Credit

New Mexico's Technology Jobs and Research & Development Tax Credit is administered by the New Mexico Taxation and Revenue Department and offsets state tax liability for businesses doing qualified R&D in New Mexico. It can reduce gross-receipts, compensating, or withholding tax, and it can also offset income or corporate income tax when the payroll-growth test is met. The base credit is 5% of qualified research expenditures in urban areas and 10% in rural areas. A further 5% or 10% layer can apply when annual payroll rises by $75,000 for each $1 million of qualified expenditures claimed. Small qualified R&D businesses, defined as firms with 50 or fewer employees, no more than $5 million in qualified expenditures, and less than 50% ownership by another business, can receive a refundable credit on the excess amount. The refundable portion is paid at 100% below $3 million of qualified expenditures, then tapers to two-thirds in the $3 million to $4 million band and one-third in the $4 million to $5 million band. Claims are made annually, approved credit can carry forward for three years, and the program excludes national laboratories, federal facilities, and state-owned research facilities as direct claimants. It fits private companies that can document qualified spending carefully and pair research with local payroll growth, especially outside the largest urban corridors.

Each grant below is a distinct funding opportunity with its own eligibility, scope, and deliverables.