What are gross receipts?

Gross receipts are sales and other items of business income on which gross receipts tax is imposed. (Nasty surprise: If you are a gig worker, you are in business!)

Gross receipts include the total amount of money or value of other consideration, such as from barter, you receive from:

Selling property in New Mexico
Leasing or licensing property employed in New Mexico
Granting a right to use a franchise employed in New Mexico
Performing services in New Mexico
Selling research and development services performed outside New Mexico, the product of which is initially used in New Mexico

Gross receipts also includes other unexpected items such as expense reimbursements and freight and delivery charges. In other words, it's usually the bottom line total on a bill.

The gross receipts tax rate varies throughout the state. It is currently from 4.875% to 8.9375% depending on the location of buyers.