Cannabis Control Division June 27, 2025 INDUSTRY BULLETIN: 25-09 Notice to All Licensees: New Mexico Taxation and Revenue Department Communications
This communication is to notify licensees that the New Mexico Taxation and Revenue Department has sent the below communications regarding some resources and changes that impact the cannabis industry.
• Cannabis Excise Tax: July 1, the first rate increase goes into effect. The rate will go from 12% to 13%. Each year after, current law calls for a 1% increase every July until 2030. More information can be located on our website https://www.tax.newmexico.gov/businesses/cannabis-excise-tax/.
• Gross Receipts Tax (GRT): For medical cannabis sales, the deduction under Section 7-9-73.2 NMSA 1978 does apply. However, going forward, this deduction is required to be separately reported using deduction code “D0034”. More information is located in the attached July 2025 to June 2026 GRT Filer’s Kit. Please file returns through the Taxpayer Access Point (TAP) electronically, but the GRT Filer’s kit provides a lot of useful information about GRT rate and legislative changes. You can also locate more information on gross receipts tax on our website https://www.tax.newmexico.gov/businesses/gross-receipts-overview/.
• Notification System: If you would like to be notified of changes real time, consider signing up for the New Mexico Taxation and Revenue Department notification service. https://www.tax.newmexico.gov/nm-taxation-revenuedepartment-notification-service/
• Mobile ID Business Owner Acceptance: Did you know New Mexico has a Mobile ID now? Mobile ID can be used for age and identity verification and easily stored in your phone’s digital wallet. As a business, you can accept Mobile (Digital) ID for age verification, see the Cannabis Control Division of the Regulation and Licensing Division FAQ’s for more information. For more information on accepting Mobile Driver’s License and State ID’s see our YouTube video. If you have questions on your cannabis excise tax account, please reach out to us using our contact us page https://www.tax.newmexico.gov/contact-us/. For cannabis, select “Other Business Taxes” if using the fillable form.
Sincerely,
Cannabis Control Division