Taxes in Las Cruces, New Mexico
Complete tax guide for Las Cruces, NM. State income tax up to 5.9%, 0.68% property tax, 8.31% sales tax. Calculate your total tax burden.
State Income Tax
5.9%
New Mexico
Property Tax
0.68%
Effective rate
Sales Tax
8.31%
Combined rate
Tax Burden
Low
Las Cruces, NM Tax Overview
University town; New Mexico State University
Population
111,385
Median Income
$42,615
Cost of Living
87.5 (100 = avg)
State Income Tax
5.9%
Median Home Price
$220,000
Las Cruces Tax Calculator
Pre-filled with Las Cruces median: $42,615
Total Tax Burden in Las Cruces
$8,850
Take-Home: $33,765 · Effective Rate: 20.77%
Federal Tax
$3,075
7.22% eff.
NM State
$2,514
5.90% eff.
FICA
$3,260
7.65% eff.
Take-Home
$33,765
79.23% kept
Tax Breakdown
| Item | Annual | Monthly |
|---|---|---|
| Gross Income | $42,615.00 | $3,551.25 |
| Federal Income Tax | -$3,075.30 | -$256.28 |
| New Mexico State Tax | -$2,514.29 | -$209.52 |
| Social Security (6.2%) | -$2,642.13 | -$220.18 |
| Medicare (1.45%) | -$617.92 | -$51.49 |
| Take-Home Pay | $33,765.37 | $2,813.78 |
Property Tax in Las Cruces
Median Home
$220,000
Annual Tax
$1,496
Monthly Tax
$125
Effective Rate
0.68%
Sales Tax in Las Cruces
Combined Rate
8.31%
State Portion
~5.8%
Local Portion
~2.5%
The combined sales tax rate in Las Cruces is 8.31%, which is above the national average of 7.12%. On a $100 purchase, you would pay $8.31 in sales tax.
Tax Burden Comparison
| Tax Type | Las Cruces | New Mexico Avg | National Avg |
|---|---|---|---|
| Income Tax | 5.9% | 5.9% | 4.6% |
| Property Tax | 0.68% | ~0.68% | 1.1% |
| Sales Tax | 8.31% | ~8.31% | 7.12% |
| Overall Burden | Low | — | Moderate |
Tax Saving Tips for Las Cruces Residents
- New Mexico's income tax rate of 5.9% is above average. Maximize pre-tax retirement contributions (401k up to $23,500, IRA up to $7,000) to reduce both federal and state taxable income.
- Property tax in Las Cruces (0.68%) is below the national average of 1.1%. This makes homeownership more affordable here relative to property tax burden.
- The combined sales tax rate of 8.31% is relatively high. Consider making large purchases in lower-tax jurisdictions or online retailers that do not charge local tax rates.
- Use a Health Savings Account (HSA) if eligible. Contributions are tax-deductible ($4,300 individual, $8,550 family), growth is tax-free, and withdrawals for medical expenses are tax-free.
Other Cities in New Mexico
Calculate Your Full New Mexico Tax Burden
See detailed state tax brackets, FICA breakdown, and compare to neighboring states.
Frequently Asked Questions
What are the tax rates in Las Cruces, NM?
Las Cruces, New Mexico has a state income tax rate up to 5.9%. The property tax rate is 0.68% and the combined sales tax rate is 8.31%. University town; New Mexico State University
How much is property tax in Las Cruces?
The effective property tax rate in Las Cruces is 0.68%. On the median home price of $220,000, this equals approximately $1,496 per year or $125 per month. This is below the national average of 1.1%.
What is the sales tax rate in Las Cruces?
The combined sales tax rate in Las Cruces is 8.31%, which includes both state and local components. This is above the national average combined rate of approximately 7.12%.
How does Las Cruces's tax burden compare to other cities?
Las Cruces has a low overall tax burden. The effective total tax rate for a median-income household is approximately 25%. The combination of 5.9% state income tax, 0.68% property tax, and 8.31% sales tax determines the total burden. Cost of living index is 87.5 (100 = national average).
Are there any local taxes in Las Cruces?
Las Cruces does not impose a separate local or city income tax. Residents pay the state income tax of 5.9%, federal income tax, and FICA (Social Security and Medicare). University town; New Mexico State University