Hey there, New Mexicans! Welcome to Bottomline Tax. If you’re looking for some extra cash to help you out in these tough times, you might be in luck. The state of New Mexico has approved two types of tax rebates and relief payments for 2023 that could put some money back in your pocket. Sounds good, right? But before you start celebrating, you might want to know more about these programs, how they work, who qualifies, and when you can expect to receive them. That’s why I’m here to give you the lowdown on everything you need to know about NM tax rebates and relief payments for 2023. Let’s get started!

What’s the deal with these tax rebates and relief payments in New Mexico for 2023?

Well, the deal is that the state of New Mexico wants to help its residents cope with the economic impact of the COVID-19 pandemic and other challenges. That’s why the state legislature passed two bills in 2023 that provide tax relief to eligible New Mexicans. The first one is called the “2023 Rebates for NM Families” program, which will send rebate checks to taxpayers who filed a 2021 personal income tax return and are not claimed as dependents by someone else. The second one is called the “New Mexico Economic Relief Payment” program, which will provide payments to low-income residents who did not receive or intend to receive a rebate from the first program. Both programs are funded by federal stimulus money and state surplus funds.

Rebate Amount and Eligibility

How much are we talking about here for the rebate?

The amount of the rebate depends on your filing status and your adjusted gross income (AGI) for 2021. Here’s a breakdown of how much you can get:

Filing Status	AGI Threshold	Rebate Amount
Single	$31,200 or less	$500
Married filing jointly, head of household, or surviving spouse	$39,000 or less	$1,000

For example, if you’re single and your AGI for 2021 was $30,000, you’ll get a $500 rebate check. If you’re married and filed jointly with your spouse, and your combined AGI for 2021 was $38,000, you’ll get a $1,000 rebate check.

Who gets to cash in on these rebates?

The rebates are automatically sent to New Mexico residents who meet the following criteria:

You filed a 2021 personal income tax return by April 15, 2023 or by the extended due date if you requested an extension. Update: Eligible residents have until May 31, 2024 to file the 2021 Personal Income Tax (PIT) return if they have not already done so.
You are not claimed as a dependent by another taxpayer.
You have a valid Social Security number or Individual Taxpayer Identification Number.
You have a valid mailing address in New Mexico.

You don’t need to apply for the rebate or do anything else to receive it. The state will use the information from your 2021 tax return to determine your eligibility and amount.

What if you’re not elegible? No problem, you can still make some extra cash by hanging out online and doing simple internet tasks. Here’s how this works.

Can you give me some real-life examples of folks who might be eligible?

Sure thing! Here are some hypothetical scenarios of people who might qualify for the rebate:

Alice is a single mother of two who works as a cashier at a grocery store. She earned $28,000 in 2021 and filed her tax return by April 15, 2023. She is not claimed as a dependent by anyone else. She will receive a $500 rebate check in the mail.
Bob and Carol are a married couple who both work as teachers. They earned $36,000 each in 2021 and filed their joint tax return by April 15, 2023. They are not claimed as dependents by anyone else. They will receive a $1,000 rebate check in the mail.
Dave is a retired veteran who lives on his pension and social security benefits. He earned $25,000 in 2021 and filed his tax return by April 15, 2023. He is not claimed as a dependent by anyone else. He will receive a $500 rebate check in the mail.
Eve is a college student who works part-time as a waitress. She earned $15,000 in 2021 and filed her tax return by April 15, 2023. She is not claimed as a dependent by her parents or anyone else. She will receive a $500 rebate check in the mail.

Rebate Status and Schedule

When’s the payday and how are these rebates delivered?

The payday for the rebates is expected to be sometime in June 2023. The state Taxation and Revenue Department will process the rebates starting from June 16, 2023 and will send them out as soon as possible. The rebates will be delivered either by direct deposit or by paper check, depending on how you chose to receive your tax refund for 2021. If you opted for direct deposit, you’ll get your rebate faster and more securely than if you opted for a paper check. If you didn’t receive a tax refund for 2021 or didn’t choose a refund method, you’ll get a paper check mailed to your address on file.

How can folks check up on their rebate status?

If you want to check up on your rebate status, you can visit the state Taxation and Revenue Department’s website at https://www.tax.newmexico.gov/rebates/. There you’ll find more information about the program and a link to an online tool where you can enter your social security number and zip code to track your rebate. You can also call the department’s toll-free number at (866) 285-2996 to speak with a representative who can assist you with your rebate inquiry.

What if there are hiccups or delays in the schedule, what then?

The state Taxation and Revenue Department is working hard to ensure that the rebates are delivered as quickly and smoothly as possible. However, there may be some factors that could cause hiccups or delays in the schedule, such as:

– Errors or discrepancies in your tax return or rebate application
– Changes in your bank account or mailing address
– High volume of rebate requests or inquiries
– Technical issues or system failures

If you encounter any of these issues, don’t worry. The department will contact you by mail, email, or phone to notify you of the problem and how to resolve it. You may also check the status of your rebate online on the NM Tax Rebate 2023 website or by phone at (505) 827-0827 or by email at nmtaxrebate@state.nm.us at any time. The department will do its best to process your rebate within 90 days of receiving your tax return or rebate application, or by December 31, 2023, whichever is earlier.

Rebate Sources and Types

The NM tax rebate 2023 is not the only type of rebate or relief payment that New Mexicans can benefit from. There are several other sources and types of rebates that are available at the federal, state, and local levels. Some of these rebates are automatic, meaning that you don’t have to do anything to receive them. Others require that you file a tax return or apply for them separately. Here is a brief overview of some of the most common rebates and relief payments that New Mexicans may be eligible for.

The federal child tax credit is a monthly payment of up to $300 per child under age 6 and up to $250 per child age 6 to 17 for eligible families. The payments are based on your 2020 or 2021 income tax return and will continue until December 31, 2021. You can check your eligibility and update your information on the IRS website.
The federal earned income tax credit is a refundable tax credit for low- to moderate-income workers and families. The amount of the credit depends on your income, filing status, and number of children. For 2021, the maximum credit is $6,728 for a family with three or more children. You can claim the credit when you file your 2021 income tax return in 2022. You can find out more about the credit and how to claim it on the IRS website.
The federal economic impact payments are one-time payments of up to $1,400 per person for eligible individuals and families. The payments are based on your 2019 or 2020 income tax return and were distributed in March and April 2021. If you did not receive your payment or received less than you expected, you may be able to claim a recovery rebate credit when you file your 2021 income tax return in 2022. You can check the status of your payment and find out more about the recovery rebate credit on the IRS website.
The NM property tax rebate is a refund of up to $350 for eligible homeowners who are 65 years or older, disabled, or have low income. The rebate is based on your 2022 property tax bill and will be issued in 2023. You can apply for the rebate by filling out a form and submitting it to the NM Taxation and Revenue Department by April 15, 2023. You can download the form and instructions on the NM Property Tax Rebate website.
The NM low-income comprehensive tax rebate is a refund of up to $450 for eligible individuals and families who have low income and pay gross receipts tax on certain goods and services. The rebate is based on your 2022 income tax return and will be issued in 2023. You can claim the rebate when you file your 2022 income tax return by April 15, 2023. You can find out more about the rebate and how to claim it on the NM Low-Income Comprehensive Tax Rebate website.

These are just some of the rebates and relief payments that New Mexicans may be entitled to. There may be other programs or benefits that you qualify for depending on your situation and location. You can visit the NM Taxation and Revenue Department website or the IRS website for more information and resources.

Who’s footing the bill for these rebates?

You might be wondering how the state of New Mexico can afford to give out tax rebates and relief payments to its residents in 2023. After all, the pandemic and the economic downturn have taken a toll on the state budget, right?

Well, the good news is that New Mexico has received a lot of federal funding from the American Rescue Plan Act (ARPA), which was passed by Congress in March 2021. The ARPA allocated $350 billion to states, territories, tribal governments, and local governments to help them recover from the COVID-19 crisis and address its economic and social impacts.

New Mexico received about $6 billion from the ARPA, of which $1.75 billion went directly to the state government, and the rest was distributed to counties, cities, towns, villages, and tribal entities. The state government decided to use some of this money to provide tax relief to New Mexicans who have been struggling financially due to the pandemic.

Are there different flavors of rebates available (like income tax rebate, economic relief payment, property tax rebate)?

Yes, there are! Depending on your income level, filing status, and property ownership, you may be eligible for one or more of these rebates:

– Income tax rebate: This is a one-time payment of $600 that you can claim when you file your 2022 state income tax return in 2023. To qualify, you must have a federal adjusted gross income (AGI) of $31,200 or less for single filers, $39,000 or less for head of household filers, or $62,400 or less for married filing jointly filers. You must also have received the federal stimulus check in 2021 or 2022.
– Economic relief payment: This is a one-time payment of $750 that you can apply for online or by mail between January 1 and June 30, 2023. To qualify, you must have a federal AGI of $15,000 or less for single filers, $18,750 or less for head of household filers, or $30,000 or less for married filing jointly filers. You must also not have received the federal stimulus check in 2021 or 2022.
– Property tax rebate: This is a reduction of your property tax bill by up to $200 for the 2022 tax year. To qualify, you must own and occupy your home as your primary residence in New Mexico. You must also have a household income of $24,000 or less for single filers, $36,000 or less for head of household filers, or $48,000 or less for married filing jointly filers.

How can these different types of rebates make a difference for different people?

These rebates can make a big difference for low- and moderate-income New Mexicans who have been hit hard by the pandemic and its economic fallout. For example:

– A single parent with two children who earns $25,000 a year and rents an apartment could receive a total of $1,350 from the income tax rebate and the economic relief payment. That’s equivalent to about 5% of their annual income.
– A retired couple who earns $40,000 a year from Social Security and pensions and owns a home worth $150,000 could receive a total of $800 from the income tax rebate and the property tax rebate. That’s equivalent to about 2% of their annual income.
– A young worker who earns $15,000 a year and lives with their parents could receive a total of $750 from the economic relief payment. That’s equivalent to about 5% of their annual income.

These rebates can help these people pay for essential expenses like food, rent, utilities, medicine, transportation, and debt. They can also help them save for emergencies or invest in their future.

Conclusion

The state of New Mexico is offering generous tax rebates and relief payments to its residents in 2023 thanks to the federal funding from the ARPA. These rebates are designed to help low- and moderate-income New Mexicans who have been affected by the pandemic and its economic consequences.

If you are eligible for one or more of these rebates, don’t miss this opportunity to get some extra cash in your pocket. You can find more information on how to claim or apply for these rebates on the New Mexico Taxation and Revenue Department website.

Can you wrap up the key points for me?

Sure thing! Here are the main points to remember:

– New Mexico is giving out tax rebates and relief payments to its residents in 2023 using federal funds from the ARPA.
– There are three types of rebates: income tax rebate, economic relief payment, and property tax rebate.
– The amount and eligibility criteria for each rebate vary depending on your income level, filing status, and property ownership.
– These rebates can help you cover your basic needs, pay off your debts, or save for your goals.
– You can find more details on how to get these rebates on the New Mexico Taxation and Revenue Department website.

Why should folks not miss out on these rebates and relief payments?

Because these rebates and relief payments are a rare opportunity to get some extra money from the government that you don’t have to pay back. They are also a way to support the state’s economic recovery and help your fellow New Mexicans who are in need.

These rebates and relief payments are not permanent, though. They are only available for a limited time and for a limited number of people. So, if you qualify, don’t delay. Claim or apply for these rebates as soon as possible and enjoy the benefits.

I still have questions about the rebate. I need help.

We know that everyone’s tax situation is unique. To make sure you are getting the most out of these programs and complying with all tax laws, you may want to consult a tax professional.