us-nm/stat
NMSA 1978, § 7-3-3 — Tax withheld at source
A.
Every employer who deducts and withholds a portion of an employee's wages for
payment of income tax under the provisions of the Internal Revenue Code shall deduct
and withhold an amount for each payroll period computed from a state withholding tax
table furnished by the department; provided:
(1) if the employee instructs the employer to withhold a greater amount, the
employer shall deduct and withhold the greater amount;
(2) if the employee is not a resident of New Mexico and is to perform services
in New Mexico for fifteen or fewer days cumulatively during the calendar year, the
employer is not required to deduct and withhold an amount from that employee's wages;
and
(3) if the aggregate monthly amount withheld under this section would be less
than one dollar ($1.00) for an employee, the employer shall not be required to deduct
and withhold wages in regard to that employee.
B.
The department shall devise and furnish a state withholding tax table based on
statutes made and provided to employers required to withhold amounts under this
section. This table shall be devised to provide for a yearly aggregate withholding that
will approximate the state income tax liability of average taxpayers in each exemption
category.
C.
If an individual requests in writing that the payor deduct and withhold an amount
from the amount of the pension or annuity due the individual, the payor making payment
of a pension or annuity to an individual domiciled in New Mexico shall deduct and
withhold the amount requested to be deducted and withheld, provided that the payor is
not required to deduct and withhold any amount less than ten dollars ($10.00) per
payment. The written request shall include the payee's name, current address, taxpayer
identification number and, if applicable, the contract, policy or account number to which
the request applies.
D.
Every person in New Mexico who is required by the provisions of the Internal
Revenue Code to deduct and withhold federal tax from payment of winnings that are
subject to withholding shall deduct and withhold from such payment a tax in an amount
equal to six percent of the winnings, except that an Indian nation, tribe or pueblo or an
agency, department, subdivision or instrumentality thereof is not required to deduct or
withhold from payments made to members or spouses of members of that Indian nation,
tribe or pueblo.
Source: official text