November 30, 2024, is New Mexico’s Small Business Saturday Tax Holiday, when the state allows non-franchise, small businesses to deduct their sales of qualifying items from their gross receipts. The annual tax holiday, which coincides with Small Business Saturday nationwide, begins at 12:01 a.m. and ends at midnight the same day, giving shoppers an extra incentive to shop locally this holiday season.
A wide variety of merchandise qualifies for tax-free status, such as toys, games, electronics, books, sporting goods, and more—as long as the price is under $500 per item. Gift cards do not qualify. A complete list of qualifying items is available on the New Mexico Taxation and Revenue Department’s website.
Shopping locally is important because small businesses create jobs in the community, and they’re also more likely to give to community charities. Money spent locally recirculates and strengthens the local tax base, which supports community services. A vibrant local economy improves the quality of life for the whole community.
Small Business Saturday is an annual event celebrating small businesses nationwide. Founded by American Express in 2010, it has been officially cosponsored by the U.S. Small Business Administration (SBA) since 2011. New Mexico’s tax holiday started a few years later.