New Mexico income tax rates for 2026
Six brackets from 1.5% to 5.9%. The calculation starts from federal adjusted gross income with New Mexico modifications. Each rate applies only to the slice of taxable income inside its bracket, so earning enough to reach a higher bracket never lowers your income after tax.
| Rate | Taxable income |
|---|---|
| 1.5% | $0 – $5,500 |
| 3.2% | $5,501 – $16,500 |
| 4.3% | $16,501 – $33,500 |
| 4.7% | $33,501 – $66,500 |
| 4.9% | $66,501 – $210,000 |
| 5.9% | Over $210,000 |
| Rate | Taxable income |
|---|---|
| 1.5% | $0 – $8,000 |
| 3.2% | $8,001 – $25,000 |
| 4.3% | $25,001 – $50,000 |
| 4.7% | $50,001 – $100,000 |
| 4.9% | $100,001 – $315,000 |
| 5.9% | Over $315,000 |
Heads of household use the joint brackets. Married people filing separately use half of each joint threshold.
Deductions, exemptions and credits
Before the rates apply, New Mexico allows the federal standard deduction of $16,100 (single) or $32,200 (married filing jointly). The calculator uses these for the filing status you choose; dependent exemptions and credits, which lower the tax further for families, are not included.
Worked example: $75,000 in New Mexico
Single filer with $75,000 of income before state deductions.
Taxable income = $75,000 − $16,100 (federal standard deduction) = $58,900.00
Brackets: 1.5% × $5,500.00 + 3.2% × $11,000.00 + 4.3% × $17,000.00 + 4.7% × $25,400.00 = $2,359.30
New Mexico income tax = $2,359.30 — an effective rate of 3.15% and a marginal rate of 4.7%.
New Mexico income tax at common incomes
| Income | Single | Effective | Married jointly | Effective |
|---|---|---|---|---|
| $30,000 | $351 | 1.17% | $0 | 0% |
| $50,000 | $1,184 | 2.37% | $434 | 0.87% |
| $75,000 | $2,359 | 3.15% | $1,429 | 1.91% |
| $100,000 | $3,569 | 3.57% | $2,576 | 2.58% |
| $150,000 | $6,019 | 4.01% | $4,961 | 3.31% |
| $250,000 | $11,158 | 4.46% | $9,861 | 3.94% |
Income before state deductions; standard deduction and personal exemptions for the filer (and spouse) only; no dependents, itemized deductions or local taxes.
New Mexico compared with nearby states
At $75,000 (single), New Mexico ranks 32 of 51 for state income tax, where 1 is the highest. Texas does not tax wages.
| State | Tax on $75,000 | Effective rate | Top rate |
|---|---|---|---|
| New Mexico | $2,359 | 3.15% | 5.9% |
| Arizona | $1,473 | 1.96% | 2.5% |
| Colorado | $2,592 | 3.46% | 4.4% |
| Oklahoma | $2,830 | 3.77% | 4.5% |
| Texas | $0 | 0% | none |
| Utah | $3,110 | 4.15% | 4.45% |
Frequently asked questions
What is the New Mexico income tax rate for 2026?
Six brackets from 1.5% to 5.9%. A single filer with $75,000 of income is in the 4.7% bracket but pays an effective 3.15%, because lower slices of income are taxed at lower rates.
How much New Mexico income tax do I pay on $75,000?
About $2,359 for a single filer — 3.15% of income — after $16,100 of federal standard deduction. A married couple with $150,000 owes about $4,961.
What deductions does New Mexico allow?
New Mexico allows the federal standard deduction of $16,100 (single) or $32,200 (married filing jointly). Dependent exemptions or credits, where the state offers them, lower the tax further.
Is New Mexico's income tax higher than its neighbors'?
At $75,000 (single), New Mexico ranks 32 of 51 for state income tax, where 1 is the highest. Among nearby states, Texas is lowest at $0 and Utah is highest at $3,110.
Estimates only — not tax advice. New Mexico figures: Tax Foundation, State Individual Income Tax Rates and Brackets, 2026 (as of Jan. 1, 2026). Checked October 2026. Your return may include income, deductions and credits this estimate leaves out.