New Mexico to grocery stores: Stop taxing food on deliveries | KOB 4
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New Mexico to grocery stores: Stop taxing food on deliveries

New Mexico to grocery stores: Stop taxing food on deliveries

The Associated Press
Updated: September 03, 2020 07:14 AM
Created: September 03, 2020 07:11 AM

SANTA FE, N.M. (AP) — New Mexico state taxation authorities on Wednesday urged grocery stores to stop unnecessarily collecting sales taxes on groceries that are delivered during the coronavirus pandemic.

The state remains under a stay-at-home order that discourages unnecessary outings and public gatherings.

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At the same time, online shoppers have discovered gross receipts tax charges on home-delivered groceries that are tax free when purchased in stores, undercutting the incentive to stay home.

The Taxation and Revenue Department published a guidance memo that outlines exact circumstances for waiving taxes on food.

State law provides for a tax deduction for sales at retail food establishments. 


(Copyright 2020 by The Associated Press. All Rights Reserved.)

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