About Me
- Larry Hess CPA
- Albuquerque, New Mexico, United States
- I specialize in helping businesses deal with New Mexico (NM) gross receipts tax (GRT). The name alone can be confusing because GRT is really sales tax. All businesses doing business in NM are subject to GRT. Even a business located outside of NM is doing business in NM if they sell to customers in NM. What trips up many businesses who don't think GRT applies to them is that GRT applies to the sale of services, not just things, as is common in other states. This means independent contractors, sometimes called 1099 employees, are subject to GRT. Audits are common when businesses don't register with and report their total gross receipts to the NM Taxation & Revenue Dept. All gross receipts must be reported but some are not taxable. They are known as exemptions and deductions. The word “deductions” is another source of confusion because it doesn’t mean the same thing as business expense deductions on an income tax return. The non-taxable gross receipts are handled on the GRT report so that they are not taxes. Contact me through my website, www.LarryHesscpa.com if you would like to know more. I offer virtual and phone consultations for a reasonable cost.