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Across the Board Incentives

The incentives below are generally available to economic-based businesses. That includes manufacturers and companies that receive more than half their revenues from out-of-state sales.

Job Training Incentive Program

One of the strongest workforce training programs in the nation, this highly flexible incentive reimburses economic-based companies (those selling a majority of goods or services out of state) for half of wages paid for up to six months. It also pays 100% of classroom training costs and on-the-job training provided by New Mexico institutions and part of the per diem and travel costs of outside trainers. Job applicants must be New Mexico residents or have lived here for at least a year during their lifetimes. More on the Job Training Incentive Program

High Wage Jobs Tax Credit

A bold incentive created in 2004 by Governor Richardson and the New Mexico Legislature, this tax credit equals 10% of the wages and benefits for each new economic-based job created. Qualified employers can receive the credit for up to four years.

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Industrial Revenue Bonds

Industrial revenue bonds can be issued to finance economic-based industry projects (defined as exporting a majority of goods and services out of state). This includes construction or renovation of manufacturing plants, research and development facilities, corporate headquarters and certain other facilities, and the purchase of land and equipment. Because the project is owned, technically, by the government entity and leased to the company, it's exempt from property taxes on land and buildings for up to 30 years. Equipment purchased with bond proceeds is exempt from gross receipts or compensating taxes. The city does not provide any direct financing; the company is responsible for securing its own financing. More on Industrial Revenue Bonds

Community Development Incentive Act

This incentive is designed to give communities a less expensive alternative to IRBs (Industrial Revenue Bonds), particularly when the project is too small to warrant the expense associated with them. Municipalities and counties may exempt commercial personal property of a new business facility from property tax for up to 20 years. To abate both the county and municipal property taxes, a vote by both governing bodies is required. It provides basically the same personal property tax exemption as a full IRB at a much lower cost in time and attorney fees.
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Rural Jobs Tax Credit

Eligible employers may earn the rural jobs tax credit for each qualifying job created after July 1, 2000, applying it to taxes due on the Combined Reporting System return or to corporate or personal income tax. An 'eligible employer' is one whom the Economic Development Department has approved for Job Training Incentive Program assistance. A qualifying job is a job filled by an eligible employee for 48 weeks in a 12-month qualifying period. More on Rural Jobs Tax Credit

Child Care Corporate Income Tax Credit

Employers can take a corporate income tax credit for employees' childcare services they provide or pay for. The credit applies to dependent children under 12. Companies can deduct 30 percent of eligible expenses from corporate income taxes.
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