New Mexico Stimulus Check: What To Know in 2024

Those waiting for new stimulus updates should know that the state of New Mexico is not sending out any stimulus checks in 2024. However, you can claim the state’s tax credits that are still available to lower your tax bill. While you won’t get a New Mexico stimulus check when you apply for state tax credits, they may increase your refund amount.

If you’re finding it difficult to afford your living expenses, know that the federal and New Mexico state governments have a lot of financial assistance programs. Read on to learn more about New Mexico tax credits you may qualify for, how much you can get, and how to claim.

Is There a New Mexico Stimulus Check in 2024?

There’s no New Mexico stimulus check planned for 2024. The benefits and payments that were issued through the American Rescue Plan and CARES Act during the coronavirus pandemic have expired.

Gov. Michelle Lujan Grisham had approved 2023 rebates and economic relief payments for New Mexico taxpayers. While most eligible taxpayers already received the checks last year (2023), you can still file your personal income tax return by May 31, 2024, to get the rebate check if you haven't done so yet.

While there have been many news reports and social media posts about the fourth IRS stimulus check, these are either scams or very misleading at best. We recommend checking your eligibility for existing benefit programs like food stamps, housing assistance, unemployment benefits, and Social Security instead.

New Mexico Stimulus Check 2024

While there are no New Mexico stimulus checks coming in 2024, you may still be able to get more money in your pocket through the state’s tax credits. These can lower the amount of income taxes you owe, or they may help you get a larger tax refund.

There are three main state tax credits you claim: Earned Income Tax Credit (EITC), Child Tax Credit (CTC), and the Child and Dependent Care Tax Credit (CDCTC).

How do New Mexico Stimulus Checks Work?

Tax credits are not stimulus packages. A tax credit is a tax incentive amount that qualifying taxpayers can subtract dollar for dollar from the income taxes they owe to the U.S. Treasury (for federal taxes) or their state’s Department of Revenue (for state taxes).  It may also be a credit granted in recognition of taxes already paid or a form of state "discount" applied in certain cases.

There are three main types of tax credits: refundable, nonrefundable, and partially refundable. Refundable tax credits are tax incentives that are provided in the form of a refund, even if you don’t owe any tax. 

Nonrefundable tax credits can reduce the amount of taxes you owe all the way down to zero, but no further than that.  This means non-refundable tax credits do not provide any additional monetary benefit to someone whose tax liability is already zero.

Who Is Eligible For New Mexico’s Stimulus Checks?

You must qualify for the federal Earned Income Tax Credit (EITC) to qualify for the New Mexico state EITC. Workers aged 18 to 24 and tax filers with Individual Taxpayer Identification Numbers (ITINs) are also eligible for the state EITC.

To claim the Child Tax Credit, you must have “qualifying children” as defined by the IRS’s Section 152(c). Your adjusted gross income (AGI) should not be over the specified income limits.

You must meet these eligibility criteria to claim the Child and Dependent Care Tax Credit (CDCTC):

• Your adjusted gross income should not be over $30,160.
• You must not have been a recipient of assistance under the New Mexico Works Act, TANF, or other similar programs during the tax year.
• You must have provided half of the cost of maintaining the household for at least one qualifying dependent for a portion of the tax year.
• Qualifying expenses must be for care provided to children under the age of 15 in New Mexico. Expenses must not exceed $8/day per child.

“Keep in mind, to be eligible for these state income tax credits, you must be physically present in the state of New Mexico for at least six months (183 days or more) during the tax year,” explains Brad Reichert, founder and managing director of Reichert Asset Management LLC. “In other words, New Mexico must be your state of residence for tax purposes,” he adds.  

“This means that if you’re a “snowbird” who spends the winter in New Mexico and the summer in another state up north, you will have to count your days and plan your time out between the two states accordingly so you qualify as a New Mexico state resident for at least half the year,” Reichert shares. 

How Much Do You Receive and When

New Mexico’s EITC is fully refundable and is 25% of the federal credit, starting in 2023. The state Child and Dependent Care Tax Credit is also fully refundable and is 40% of qualifying expenses, not exceeding $480/child or $1,200 per family.

The amount of Child Tax Credit (CTC) you qualify for will depend on your adjusted gross income:

• $600- AGI up to $25,000
• $400- AGI between $25,000 and $50,000
• $200- AGI between $50,000 and $75,000
• $100- AGI between $75,000 and $100,000
• $75- AGI between $100,000 and $200,000
• $50- AGI between $200,000 and $350,000
• $25- AGI over $350,000

How To Track the Status of New Mexico’s Stimulus Checks

You won’t receive a New Mexico stimulus check even if you qualify for tax credits, so you can’t track the status of the payment.

When you file your state income tax returns, the tax credits will be reflected in it. If you qualify for a tax refund, you’ll receive it in your bank account by direct deposit or as a paper check.

It may take six to eight weeks to process electronically filed returns and eight to 12 weeks for paper returns. You can use the “Where’s My Refund?” tool to check the status of your refund online.

How To Apply For New Mexico’s Stimulus Checks

You can claim the state tax credits by filing your individual income tax returns. You don’t need to take any other action. File your federal and state tax returns through tax preparation software or get help from a tax professional.

Low and moderate-income filers may also qualify for free tax filing through the IRS’s Free File. You can also visit a VITA or TCE site to get help with filing taxes.

Apply for Government Assistance Programs in New Mexico

In addition to filing for any New Mexico state tax credits you may qualify for, we recommend applying for assistance programs for seniors and low-income individuals instead of waiting for a fourth New Mexico stimulus check that will likely never come. The federal government has several programs, such as unemployment benefits, SSI, SSDI, housing and rental assistance, food stamps, and more.

For those dealing with debt-related financial hardships, enrolling in a New Mexico debt relief program, such as debt settlement or credit counseling, can help reduce your debt load significantly.

Visit our Utah stimulus checks, Arizona stimulus checks, and Texas stimulus checks pages for information about programs you can apply for in those states.