Live in New Mexico, Work in Florida: Which State Taxes Your Paycheck?
Answer
New Mexico gets all of it. Because Florida does not tax wage income, no Florida withholding exists and no Florida return is required — but New Mexico taxes residents on worldwide income, so every dollar earned in Florida still belongs on your New Mexico resident return.
Last verified
Crossing into a state with no income tax does not lower your tax bill, because your home state is not taxing you on where you work — it is taxing you on where you live. New Mexico reaches all of a resident's income, and Florida adds nothing on top.
What you file
- 1Resident return · New Mexico
File a New Mexico resident return reporting all of your income.
The two states, side by side
| New Mexico | Florida | |
|---|---|---|
| Taxes wages | Yes — graduated | No |
| Reciprocity partners | None | None |
| Convenience rule | No | No |
| Nonresident return | Form PIT-1 with Schedule PIT-B | Not applicable |
| Credit for other-state tax | Form PIT-1 (credit for taxes paid to another state) | No income tax |
| Nonresident safe harbour | None published | Not applicable |
| Local income tax | No | No |
| Revenue department | New Mexico Taxation and Revenue Department | Florida Department of Revenue |
| Last verified |
The other direction
Reversing the commute does not always reverse the answer. Living in Florida and working in New Mexico gives:Work state only.
Same two states, different situation
The withholding answer turns on how you are paid and where the work happens, not only on which two states are involved.
- Remote worker: New Mexico → FloridaHome state only
- 1099 contractor: New Mexico → FloridaHome state only — estimated payments
- Moved mid-year: New Mexico → FloridaOne part-year return — the state you left
Other New Mexico pairs
Questions people actually ask
I live in New Mexico and work in Florida. Which state takes the tax out of my paycheck?
New Mexico gets all of it. Because Florida does not tax wage income, no Florida withholding exists and no Florida return is required — but New Mexico taxes residents on worldwide income, so every dollar earned in Florida still belongs on your New Mexico resident return.
Which state should my employer be withholding for?
New Mexico. Your employer should withhold New Mexico tax rather than Florida tax on these wages. If a Florida line is showing on your pay stub, raise it with payroll now rather than at filing time.
How current is this?
The New Mexico and Florida rules on this page were last checked against New Mexico Taxation and Revenue Department and Florida Department of Revenue on 2026-08-07. We re-check the full grid every December after state legislative sessions close, and re-check the convenience-of-the-employer states quarterly because that is where the rules move fastest.
Sources
Every fact above comes from the revenue department that publishes the rule. We do not cite secondary summaries, and we do not restate a figure we could not find at source.
- New Mexico Taxation and Revenue Department — individual income taxaccessed 2026-08-07
- Florida Department of Revenue — individual income taxaccessed 2026-08-07