PDF document

- 1 -

RPD-41108
Rev. 06/22 STATE OF NEW MEXICO
TAXATION AND REVENUE DEPARTMENT
WORKERS’ COMPENSATION FEE INSTRUCTIONS
Page 1 of 2

EMPLOYER: The workers’ compensation fee is paid by employers and workers (employees). The revenue the fee generates is used
primarily to fund the operation of the New Mexico Workers’ Compensation Administration which regulates, adjudicates, and provides
information and advisory services to the workers’ compensation system.
The fee is paid to the Taxation and Revenue Department. You must pay the fee quarterly and separately from other taxes. The fee is not
the same as the workers’ compensation insurance premium. It is not a substitute for a workers’ compensation insurance policy. Paying
the fee does not mean that the employer has workers’ compensation insurance coverage.

The quarterly worker’s compensation fee is $4.30 per covered worker. The employer’s share is $2.30 per covered employee and the em-
ployee portion of the fee is $2.00. Thirty cents supplies funds for the Workers’ Compensation Uninsured Employers’ Fund. The Workers’
Compensation Uninsured Employers’ Fund provides medical and indemnity benefits to injured workers whose employers fail to maintain
workers’ compensation coverage. The fund is maintained by the recovery of costs from uninsured employers and is supplemented by the
uninsured employers’ fund fee.

WHO MUST PAY: Every employer covered by the New Mexico Line C. EAN (Employer Account Number). Also called unemploy-
Workers’ Compensation Act, whether by requirement or election, ment insurance number, this is the identification number assigned
must file and pay the New Mexico Workers’ Compensation Fee to you by the New Mexico Department of Workforce Solutions.
and file Form WC-1. The EAN is mandatory only for employers who must report to the
Department of Workforce Solutions.
Employers covered by requirement are those with three or more
employees, including out-of-state employers having New Mexico REPORT PERIOD. Enter the month, day and year of the first and
employees, with the following exceptions: last day of the calendar quarter for which you are filing this report
1) employers engaged in activities required to be licensed under (for example, if filing for the first quarter of 2017, enter 01-01-17
the Construction Industries Licensing Act are covered regardless to 03-31-17).
of the number of employees;
2) domestic servants and real estate salespersons are exempt. Line 1. Number of covered workers at close of report period.
Enter the number of workers (employees) to whom the Workers’
Executive employees of a corporation or a limited liability Compensation Fee applies. This is the number of covered employ-
company who are corporate officers or partners owning ten (10) ees you employed on the last working day of the calendar quarter.
percent or more of the corporation or company are exempt from the If you have no covered employees, enter zero.
fee only if they have previously waived insurance coverage by filing
an executive employee exemption form through their insurance Line 2. Assessment Fee. Multiply line 1 by $4.30. If you have no
agent. For further clarification, contact the Workers’ Compensation covered employees, enter zero.
Administration. If the corporation or company has no employees
other than exempt executive employees, the corporation or com- Line 3. Penalty. 2% of line 2 for each month or partial month the
pany may exempt itself from filing the WC-1. payment is late, up to a maximum of 20% of the amount due, or
a minimum of $5, whichever is greater. THE MINIMUM $5.00
Employers covered by election are employers in exempt cat- PENALTY IS IMPOSED FOR FAILURE TO FILE A TIMELY
egories who voluntarily provide workers’ compensation coverage REPORT EVEN IF NO TAX IS DUE.

Line 4. Interest.
for their employees. The daily interest rate for the quarter of line 2
is computed on a daily basis, at the rate established by the U.S.
AMOUNT DUE: The fee is $4.30 per quarter for each covered em- Internal Revenue Code (IRC), of the unpaid amount for each day
ployee employed on the last working day of the calendar quarter. the payment is late. The formula for calculating daily interest is:
$2.00 should be deducted from the wages of the employee, and
$2.30 should be paid by the employer. No fee is due for exempt Tax Due x the Daily Interest Rate for the Quarter x
employees. Number of Days Late = Interest Due
Example: Employer’s fee due on line 2 is $1,000. The payment
LINE INSTRUCTIONS: is five days late. To calculate interest owed, multiply $1,000 by
the daily interest rate for the quarter. The result is the amount of
Line A. FEIN (Federal Employer Identification Number). This interest due for one day. Multiply that amount by five (the number
is the number assigned to you by the Internal Revenue Service of days the payment is late). The result is the interest due. Enter
for reporting purposes. this amount on line 4.
$1,000 x daily interest rate for the quarter x 5 = interest due
Line B. NMBTIN (New Mexico Business Tax Identification
Number). This is the identification number assigned to you by the
Taxation and Revenue Department for your New Mexico gross NOTE: You are not liable for interest if the total interest is less
receipts, compensating and state withholding taxes. than $1.00.

- 2 -

STATE OF NEW MEXICO
TAXATION AND REVENUE DEPARTMENT
WORKERS’ COMPENSATION FEE INSTRUCTIONS
Page 2 of 2
Interest is computed on a daily basis, at the rate established by the complete a registration update, Form ACD-31075, Business Tax
U.S. Internal Revenue Code (IRC). The IRC rate changes quar- Registration Update, to cancel your account. You must reactivate
terly. The IRC rate for each quarter is announced by the Internal your account with the Department by completing the registration
Revenue Service in the last month of the previous quarter. The update should you become subject to the Workers’ Compensa -
annual and daily interest rates for each quarter will be posted on tion Act either by requirement or by election. NOTE: To cancel or
our website at www.tax.newmexico.gov. change an EAN, you must contact the New Mexico Department
of Workforce Solutions.
Line 5. Total due. Add lines 2, 3 and 4. Make check or money order
payable to New Mexico Taxation and Revenue Department. Indi- QUESTIONS. Questions regarding the Workers’ Compensation
cate “WC-1” and enter your FEIN on your check. WC-1 payments Fee should be directed to the Taxation and Revenue Department
should not be sent with any other payments to the Department. in Santa Fe, your local district office, or the Workers’ Compensa-
tion Administration in Albuquerque.
Signature. The Form WC-1 is not complete until the employer
or employer’s agent has signed and dated the report. Enter your If you have questions about workers’ compensation insurance cov-
phone number and E-mail address. erage, call the Workers’ Compensation Administration at any of the
phone numbers listed, and ask to speak with a Compliance Officer.
SEND BOTTOM PORTION OF FORM ONLY. The top portion is Please note that the Workers’ Compensation Administration does
for your records. Do not send photocopies of a preprinted form. not process the assessment fee. The Taxation and Revenue
Photocopies will delay the processing of this form. Department processes the filing of Form WC-1 and the fee.

CORRECTIONS. If you receive a preprinted form and the pre - FOR DETAILED INFORMATION: The Workers’ Compensation
printed information on your form is incorrect, please make changes Administration has published Employer Guidebook and Guia
on Form ACD-31075, Business Tax Registration Update. Para Empleadores that provides detailed information about the
Workers’ Compensation Fee and other matters related to workers’
IF YOUR BUSINESS IS NOT REQUIRED TO FILE THE WC-1. compensation. The guidebook is available online at the Work-
If you are no longer in business or are not required to file, you ers’ Compensation Administration website, https://workerscomp.
must close your account on the Taxpayer Access Point (TAP) or nm.gov/.

TAXATION AND REVENUE DEPARTMENT WORKERS’ COMPENSATION ADMINISTRATION OFFICES
Website address is: http://www.tax.newmexico.gov Website address is: http://www.workerscomp.nm.gov/

Please mail all returns to: Albuquerque: Las Vegas:
2410 Centre Ave. SE 32 NM 65
Workers’ Compensation Fee P.O. Box 27198 Las Vegas, New Mexico 87701
P.O. Box 2527 Albuquerque, New Mexico 87125 Telephone: 505-454-9251
Santa Fe, NM 87504-2527 Telephone: 505-841-6000 or 1-800-281-7889
or 1-800-255-7965
For any questions call our call center:
1-866-285-2996 Farmington: Roswell:
2700 Farmington Ave., Bldg. E, Suite. 2 400 North Pennsylvania, Suite 425
District Tax Offices Farmington, New Mexico 87401 Roswell, New Mexico 88201
Albuquerque: Telephone: 505-599-9746 Telephone: 575-623-3997
10500 Copper Ave NE Suite C or 1-800-568-7310 or 1-866-311-8587
Albuquerque, New Mexico 87123
Farmington: Hobbs Santa Fe:
3501 E. Main Street Suite N James M. Murray State Bldg. Aspen Plaza Building
Farmington, New Mexico 87499 2120 North Alto - Unit 3 1596 Pacheco St., Suite. 202
Hobbs, New Mexico 88240 Santa Fe, New Mexico 87505
Las Cruces: 1-800-934-2450
2540 El Paseo, Bldg. 2
Las Cruces, New Mexico 88004 Las Cruces:
2407 W. Picacho, Suite D
Roswell: Las Cruces, New Mexico 88007
400 North Pennsylvania, Suite 200 Telephone: 575-524-6246
Roswell, New Mexico 88202 or 1-800-870-6826
Santa Fe:
1200 S. St. Francis Dr.
Santa Fe, New Mexico 87505

PDF file checksum: 523570315

(Plugin #1/9.12/13.0)