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New Mexico Family, Child Care, and Low-Income Tax Relief

New Mexico tax relief relevant to caregiver households, including the refundable New Mexico Child Tax Credit, Working Families Tax Credit, Low-Income Comprehensive Tax Rebate, Child Day Care Credit, and older-adult medical and property tax credits.

New Mexico offers several refundable and low-income tax credits relevant to caregiver households. The New Mexico Child Tax Credit is refundable, may be claimed for each qualifying child, and for 2025 ranges from $637 per child at the lowest income tier to $26 per child at the highest tier. The Working Families Tax Credit is a refundable credit based on the federal EIC; state guidance says it increased to 25% of the EIC for tax year 2023. The Low-Income Comprehensive Tax Rebate supports New Mexico residents with modified gross income of $36,000 or less who meet residency and presence rules. New Mexico also has a Child Day Care Credit claimed on PIT-RC with PIT-Childcare and PIT-CG, with a maximum available credit of $480 per child and $1,200 total. For older adults, New Mexico identifies a Property Tax Rebate for Persons 65 or older and a Refundable Medical Care Credit of $2,800 for taxpayers or spouses age 65 or older with unreimbursed and uncompensated medical care expenses over $28,000.

Questions to ask the program

These are questions to ask the program, not a verdict on your eligibility. Confirm the current rules directly with the program.

  • Does the person receiving care live in New Mexico? — Residency is usually the first thing a program checks.
  • Which tax year does this apply to, and what form claims it?
  • Does your employer already offer this, and have they told staff? — Some credits are claimed by the employer, not by you — asking is the move.

Services

New Mexico offers several refundable and low-income tax credits relevant to caregiver households. The New Mexico Child Tax Credit is refundable, may be claimed for each qualifying child, and for 2025 ranges from $637 per child at the lowest income tier to $26 per child at the highest tier. The Working Families Tax Credit is a refundable credit based on the federal EIC; state guidance says it increased to 25% of the EIC for tax year 2023. The Low-Income Comprehensive Tax Rebate supports New Mexico residents with modified gross income of $36,000 or less who meet residency and presence rules. New Mexico also has a Child Day Care Credit claimed on PIT-RC with PIT-Childcare and PIT-CG, with a maximum available credit of $480 per child and $1,200 total. For older adults, New Mexico identifies a Property Tax Rebate for Persons 65 or older and a Refundable Medical Care Credit of $2,800 for taxpayers or spouses age 65 or older with unreimbursed and uncompensated medical care expenses over $28,000.

How to apply

Use the official program page for application details: official program page.

  • eitc (companion): New Mexico Working Families Tax Credit is based on the federal earned income credit.
  • cdctc (companion): New Mexico Child Day Care Credit is state child care tax relief with separate state worksheet and caregiver statement requirements.