Resale certificates by state
New Mexico resale certificate
The official form, whether New Mexico takes the multistate certificates, and what buyers and sellers need to do to keep a resale purchase tax-free.
Official sources checked
Quick answer
- Official form
- Nontaxable Transaction Certificate (NTTC), Type 2 for resale of tangible personal property or licenses. Issued by TRD to registered buyers and executed to each seller, mainly through TAP. (Type 2 NTTC) · Get the form (opens in a new tab)
- Issued by the New Mexico Taxation and Revenue Department.
- Expires?
- No set expiry
- One NTTC covers all transactions of that type with that seller, unless it is project-specific. Paper NTTCs from the 1992 Series and later no longer have an expiration date. NTTCs become invalid for transactions after the buyer's gross receipts tax account is closed.
- Accepts the SST certificate?
- Unconfirmed
- Accepts the MTC certificate?
- Yes, with limits
- Out-of-state buyers can use it?
- With limits
- Other states' resale certificates are not valid in New Mexico. Buyers not required to register with TRD have alternatives. One is a Type OSB NTTC, which the seller obtains from TRD and the buyer completes; the buyer must be based and registered out of state with no New Mexico business location or receipts, and the seller must keep proof of the buyer's registration. Others are the MTC uniform certificate, or a Border States certificate (AZ, CA, OK, TX, UT, Mexico) when goods cross the border. The seller may also rely on alternative evidence under Section 7-9-43, such as the buyer's written statement of resale with the required details.
- Buyer must be registered in New Mexico?
- With limits
- A standard NTTC requires a New Mexico Business Tax Identification Number (NMBTIN). Buyers not required to register can use the alternatives described above instead.
How to fill out and accept the certificate
- The buyer registers with TRD for an NMBTIN, then applies for Type 2 NTTCs in TAP. Type 2 and Type 5 are issued immediately, or the buyer can use Form ACD-31050 for paper certificates, up to five per application.
- The buyer executes the NTTC to the seller by entering the seller's information in TAP or completing every field on the paper NTTC. The seller gives its NMBTIN.
- The seller confirms the transaction is a resale covered by Type 2, then keeps the NTTC. TAP executions appear in both parties' TAP accounts.
When a seller is protected
A properly executed NTTC (all fields complete) accepted in good faith is conclusive evidence that the receipts are deductible. The seller must confirm the transaction fits the NTTC type, for example not accepting a Type 5 for a service resale. If it doesn't fit, the deduction is disallowed. The buyer is liable for tax, penalty, and interest if it misuses the certificate or gives false information. The seller must give its own NMBTIN to the buyer before or when accepting the NTTC.
Seller record-keeping
No fixed number of years. Section 7-1-10 NMSA and 3.1.5.15 NMAC require keeping records that allow accurate tax computation, preserved under Section 7-1-10 unless TRD releases them in writing. Keep NTTCs, and the OSB supporting documents, in the business records.
The New Mexico Taxation and Revenue Department lets sellers check a buyer's registration or certificate online: official lookup (opens in a new tab).
Common mistakes
- Accepting another state's resale certificate. It is not valid in New Mexico. Use a Type 2 NTTC, a Type OSB NTTC, an MTC or Border States certificate where eligible, or alternative evidence.
- Accepting an NTTC type that doesn't match the transaction, such as a Type 5 for resale of services. The deduction is then disallowed.
- Giving a Type OSB NTTC without first collecting the buyer's out-of-state license number and proof that it does business there, which invalidates the deduction.
Multistate certificates in New Mexico
SST Certificate of Exemption
Unconfirmed
New Mexico is not a Streamlined Sales Tax member, and we found no official statement on whether it accepts the SST certificate. NM says other states' resale certificates are invalid and names only the MTC form and the Border States certificate as NTTC substitutes for buyers not required to register.
MTC Uniform Resale Certificate
With limits
MTC note: Accepted in place of a New Mexico NTTC only if not issued by New Mexico, the buyer is not required to register in New Mexico, and it covers TPP for resale or manufacturing ingredients; not for services.
New Mexico resale certificate FAQ
What form is used for a resale certificate in New Mexico?
New Mexico's resale certificate is the Nontaxable Transaction Certificate (NTTC), Type 2 for resale of tangible personal property or licenses. Issued by TRD to registered buyers and executed to each seller, mainly through TAP. (Type 2 NTTC), published by the New Mexico Taxation and Revenue Department. Download it from the New Mexico Taxation and Revenue Department website; sellers keep the completed certificate rather than sending it to the state.
Does New Mexico accept multistate resale certificates?
New Mexico is not a Streamlined Sales Tax member, and we found no official statement on whether it accepts the SST certificate. NM says other states' resale certificates are invalid and names only the MTC form and the Border States certificate as NTTC substitutes for buyers not required to register. New Mexico is on the Multistate Tax Commission's list of states that accept its Uniform Sales & Use Tax Resale Certificate, with a state-specific restriction. MTC note: Accepted in place of a New Mexico NTTC only if not issued by New Mexico, the buyer is not required to register in New Mexico, and it covers TPP for resale or manufacturing ingredients; not for services.
Do New Mexico resale certificates expire?
One NTTC covers all transactions of that type with that seller, unless it is project-specific. Paper NTTCs from the 1992 Series and later no longer have an expiration date. NTTCs become invalid for transactions after the buyer's gross receipts tax account is closed.
Can an out-of-state business use a resale certificate in New Mexico?
Other states' resale certificates are not valid in New Mexico. Buyers not required to register with TRD have alternatives. One is a Type OSB NTTC, which the seller obtains from TRD and the buyer completes; the buyer must be based and registered out of state with no New Mexico business location or receipts, and the seller must keep proof of the buyer's registration. Others are the MTC uniform certificate, or a Border States certificate (AZ, CA, OK, TX, UT, Mexico) when goods cross the border. The seller may also rely on alternative evidence under Section 7-9-43, such as the buyer's written statement of resale with the required details.
Related reading
- New Mexico sales tax guide: rates, nexus thresholds and filing rules
- New Mexico sales tax exemptions
- Resale certificates: who qualifies and how to get one
- How out-of-state resale certificates work
- Sales tax exemption guide
Sources
- Non-Taxable Transaction Certificates (NTTC) (NM TRD) (opens in a new tab)
- FYI-204 Nontaxable Transaction Certificates (opens in a new tab)
- Form ACD-31050 Application for Nontaxable Transaction Certificates (opens in a new tab)
- Tax Administration Act (Section 7-1-10 NMSA; 3.1.5.15 NMAC) (opens in a new tab)
- Taxpayer Access Point (TAP) (opens in a new tab)
- MTC Uniform Sales & Use Tax Resale Certificate (rev. 10/14/2022) (opens in a new tab)
- SST member state list (non-member) (opens in a new tab)
This page is general information, not tax or legal advice. Forms and rules change, so confirm with the New Mexico Taxation and Revenue Department before you rely on a certificate.
Resale certificates in other states
Kintsugi collects, validates and tracks exemption and resale certificates for you
Store certificates next to the customers they cover and apply them to exempt sales automatically. Basic certificate management is included on the Starter plan; Premium adds bulk upload with automatic validation, secure certificate requests and expiration alerts.