New Mexico Sale of a Business Package

State:
New Mexico
Control #:
NM-P018-PKG
Format:
Word; 
Rich Text
Instant download

Description

This package contains essential legal documents to assist individual or corporate buyers or sellers in the sale of a business. You may modify these forms to fit your particular circumstances. Some documents in this package are state-specific.



This package contains the following forms:



1) Agreement for Sale of Business- Sole Proprietorship

2) Asset Purchase Agreement

3) Bill of Sale for Personal Assets

4) Promissory Note

5) Landlord's Consent to Assignment of Lease

6) Retained Employees Agreement

7) Noncompetition Covenant by Seller

8) Profit and Loss Statement

9) Bill of Sale in Connection with Sale of Business by Individual or Corporate Seller


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FAQ

Arkansas. Connecticut. District of Columbia. Georgia. Hawaii. Kansas. Kentucky. Michigan.

Anyone who engages in business in New Mexico must register with the Taxation and Revenue Department (TRD).Known as a CRS Identification Number, it is used to report and pay tax collected on gross receipts from business conducted in New Mexico.

The statewide tax rate is 7.25%. In most areas of California, local jurisdictions have added district taxes that increase the tax owed by a seller. Those district tax rates range from 0.10% to 1.00%. Some areas may have more than one district tax in effect.

If you are trying to decide which rate to charge based on either shipping or billing address, the short answer is to charge sales tax based on your customer's shipping address.

In New Mexico, the seller pays the tax on the sales price of a product or service even if the seller doesn't collect it from the buyer and even if the buyer lives out of state. GRT was intended to widen the tax base by taxing more items at a lower rate than would be typical in states with a sales tax.

For taxable sales, delivery and shipping charges that are included in the sale price are generally subject to state sales tax. Sellers can only separately state the delivery charge if the buyer can avoid it (i.e., by picking up the goods). Different rules may apply for local sales tax.

Rather than a sales tax, the state of New Mexico has a gross receipts tax (GRT.)in order for that carrier to ship the product to your customer, then shipping is considered a taxable part of that transaction.

Generally speaking, sales and leases of goods and other property, both tangible and intangible, are taxable. Unlike many other states, sales and performances of most services are taxable in New Mexico.

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New Mexico Sale of a Business Package