Electronic tax

How to Get Your 2022 New Mexico Tax Refunds

SANTA FE, NM (KRQE) — The state is handing out money to help New Mexicans deal with the rising cost of living and high gas prices. Under a bill passed by lawmakers in a special session, most New Mexicans are eligible for cash rebates of between $500 and $1,000.

What is the discount?

Tax refunds (or relief payments) are the state’s way of giving back to New Mexicans amid record revenues from the oil and gas industry. Lawmakers passed the general rebate bill during a one-day legislative session on April 5, and the governor signed the bill into law on April 8.

The amount you can get depends on your tax status. Regardless of how much money you earn, heads of households, surviving spouses and married people filing jointly will receive a total of $1,000. Single filers and married people filing taxes separately will receive a total of $500.

These payments will be divided into two parts. While the legislation officially defines delivery of the first payment as “no later than June 30, 2022”, the first payment is supposed to occur “as soon as possible”, according to the Department of Taxes and Revenue.

Charlie Moore, spokesman for the state’s Department of Taxation and Revenue, said they don’t yet have an exact date when New Mexicans will see their payments. But he says the first payments should be made in June and the second payments should be made in August this year.

People who have not filed a tax return can also get a payment

Individuals who have not filed a tax return may also qualify for relief. Households with married couples (or people with one or more dependents) can receive $1,000. Singles can get $500.

“The Legislature passed, and Governor Lujan Grisham signed, a bill that authorizes approximately $20 million in economic relief payments to people who are ineligible for tax refunds because they do not report taxes,” said Kari Armijo, Deputy Secretary of State. Department of Social Services, which will process payments to non-filers. “It’s really designed to make sure we can get help for families in New Mexico who aren’t filing taxes but still need that economic and financial help.”

Are there any rules regarding who receives refunds and payments?

To qualify for rebates or a relief payment, you must be a resident of New Mexico. You must also have a social security number or an individual tax identification number. Finally, you cannot be dependent on another person to receive the funds.

Again, this specific refund program targets all New Mexicans, regardless of how much money you have earned or whether you have filed taxes with the state. So those who filed taxes in 2021 and those who did not can receive funds.

However, there is an essential difference in How? ‘Or’ What people can get the funds that the state distributes. For some, the payment will be “automatic”, but others will have to request it.

How to get your money

– If you have filed taxes for 2021

If you filed a 2021 personal income tax return and are eligible for tax refunds, the state will automatically send you refund payments. So, if you’ve filed tax returns, you don’t need to go through a special application process – just sit back and wait for your payments.

These payments will either come from a mailed check or direct deposit, depending on how you filed your taxes. Again, the first payment is expected to be made by June 30, 2022. The second payment is expected to be made in August 2022.

– If you have not filed a tax return

If you haven’t filed a tax return, but are otherwise eligible, you can still get a relief payment. But you must apply, and funds are allocated on a first-come, first-served basis.

To get paid, if you haven’t filed a tax return, you can apply online at www.yes.state.nm.us. This is the state department of social services application portal, called “Yes New Mexico”, also known as “YesNM”.

“People who do not file their taxes will need to apply for an economic assistance payment through the Department of Social Services,” says the department’s Kari Armijo. “You need a Social Security Number or Individual Tax ID, and the information to verify your residency here in New Mexico. Other than that, you just need a computer to be able to apply through our “Yes New Mexico” online system.

Once there, follow the on-screen instructions to request payment. Note that if you want to get your payment faster, you should use the direct deposit option.

You do not need to create an account to apply. But you have to complete the application in one sitting. But Armijo says the app is short and if you can’t finish, you can start again later.

You must apply online. But if you don’t have access to a computer, Armijo says there are resources to help.

Candidates “can go to their library or senior center,” says Armijo. “There are many tax advocacy organizations that help individuals register through this effort.” And you can apply from your phone through the same “Yes New Mexico” website.

The deadline to apply, if you are not a registrant, is May 31, 2022. Applications are now open.

Once you apply, your information will be verified by the State Department of Taxation and Revenue. If it turns out you don’t qualify, Armijo says you’ll get a notice in the mail. And you can always reapply, if the May 31 deadline hasn’t passed.

And Armijo urges those who can file taxes to do so: “If you are eligible to file taxes, you should do so so you can receive a guaranteed payment and not have to go through this economic relief portal.”

Charlie Moore of the Tax Department says that if you don’t have to file taxes (if you don’t earn enough income, for example) but want to do so in order to get an automatic relief payment, you have until May 31, 2023 to file your 2021 taxes and qualify. More information can be found on the tax office website.

Can I still get paid if the fund runs out?

The state has promised to pay all qualified filers, so they don’t have to worry about running out of money. However, there is is a limited amount of funding available to non-filers who apply for relief payments through the state website.

The state has a $20 million fund to pay non-filers. If that runs out and you still haven’t applied, you’re out of luck.

Applications for non-filers opened on May 2, 2022. In the first two days, 3,612 applied, according to Armijo.

“Funding is limited,” says Armijo. “So we really encourage new Mexicans to apply soon, so they can get this economic relief.”

Isn’t there an additional tax refund that the state gives to certain people?

Earlier this year, lawmakers approved House Bill 163 during the ordinary legislative session. This bill includes another smaller provision for tax refunds. But unlike the “Special Session Discounts,” this “Other Discount” comes with income limits, so fewer people will receive them.

House Bill 163 gives single or married people who file separately a $250 tax refund if they earn less than $75,000 a year. Married people and certain other New Mexicans qualify for a $500 rebate if they earn less than $150,000 a year.

These rebates are expected to be distributed in July 2022, according to the state. The $250 or $500 discounts from HB 163 will be in addition to the $500 or $1,000 discounts given as part of HB 2 during the special session.