New Mexico's top personal income and top capital gains tax rates were recently reduced, moving the state to among the most desireable locations from a personal and capital gains tax rate stand point.

By 2007, New Mexico's top personal income tax rate will have fallen from 8.2% to 4.9%, and the comparable capital gains rate from 8.2% to 2.45%.

Comprehensive information on New Mexico personal and corporate taxation policies is available from the New Mexico Department of Taxation and Revenue.