New Mexico LLC Annual Report – File an LLC Annual Report in New Mexico


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The objective of the annual report is three-fold. The annual report keeps the Government informed about all the updates, communicates about all the modifications or changes, & keeps the LLC members informed about the necessary taxes and costs. This article has all the information about New Mexico LLC annual report filing in New Mexico.

An annual report can be called an address book, as it features all the relevant addresses of the company & the members. This yearly report is a record of all the company’s activities in an entire year. It is also referred to as the Annual Franchise Tax Report because it helps in filing the franchise tax.

Contents of the Annual Report

Typically the annual report filed by a New Mexico LLC (or any other business entity for that matter) will include all the information related to its business & members. The standard contents of the annual report  or the annual franchise tax report are

  • Office Address of the LLC
  • Names & Addresses of the Members & managers.
  • Identification Documents
  • Social Security numbers of the key members of LLC
  • The objective of the business of LLC
  • List of all the signatories of the LLC
  • Information of the registered agent, if any

Does the State of New Mexico Require an Annual Report Filing?

New Mexico is one of those few states in America, which do not require an Annual Report. If you want to form an LLC in New Mexico, filing an annual report will not be a part of your compliance.

Why Do LLCs Have to File the Annual Report?

Some of the states are not required to file this yearly report, commonly known as the Annual Report. However, there are some reasons why some states should file an LLC Annual Report. Here are some reasons,

To Maintain the Accuracy of the Information

An annual report filed by the LLC has all the updated information about its official addresses & the names or addresses of all its officials. This updated information allows the State authorities to track down any LLC when communicating.

To Provide the Correct Correspondence

Many times, any creditor or other entity willing to transact with the LLC requires the correct correspondence address. If this information (which can only be modified with the help of an annual report) is not updated every year, such entities will not be able to communicate with them.

To Notify the Government About All the Significant Changes

If you have changed your main business address or had new business appointments of managers or members, the annual public information report notifies the State Government Entities about it. So, the next time someone questions a newer reform that you have introduced in your LLC, you will be saved because you had submitted the information with the Government.

To Provide an Activity Log of an LLC

The Annual Report is like an activity log of the LLC. It brings on record; all the transactions, new associations, appointments, etc. & keeps those records intact for all future references.

To Help You With the One-time Filing of Taxes

The annual report is an excellent means to keep you on your toes in case of your dues payment. Every LLC must pay the taxes through the annual report filing. By filing the report on time, the LLC can manage the exemptions & can avoid penalties imposed by the Government. 

To Enable the State to Track the Payments

The government authorities use all the information filed through the annual report, for tracking the payment of State Taxes.

Seek the Help of a Registered Agent

Every State will have a different rule for filing the Annual Report. Usually, it is submitted every year, but it is submitted once in two years in some states. Some states require the filing of the report only once in ten years.

Not only the timing, the mode of filing, the proper addresses, exemptions, legality, annual report compliance, etc., have to be taken care of while paying the taxes or filing any reports with the State authorities. In many such scenarios, it is advised that an LLC appoints a Registered Agent to manage all this. Check out the best LLC service that offers all the services at an affordable price. An experienced agent is required for:

  1. Streamlining the mandatory processes & filing.
  2. Sending or receiving any documents.
  3. Reminding you about important dates of filing or payment of taxes. 
  4. Simplifying the filing procedures.
  5. Avoid any penalties.
  6. Flexibility in working.
  7. Maintaining Privacy (as it keeps your personal records off the public record)

You can read more about a New Mexico Registered Agent here.

How Fast Can I Fill New Mexico LLC Annual Report

Filing the annual report for your New Mexico LLC by mail may take 3 business days, and filing it online will be completed immediately.

If you want to form an LLC in New Mexico, you will need to file Articles of Organization with the state. The process of filing the documents can be done online, on paper or through a registered agent. Depending on your circumstances, the amount of time it takes to complete the process may vary. For example, if you decide to file by mail, you should plan to submit the required forms by three business days. However, if you decide to fax the documents, you should expect to wait up to a week.

While there are many benefits to forming an LLC, you should also keep in mind the risks. For instance, you could be fined for failing to file certain filings. Moreover, the name of your business may appear on public records. This information is used by government authorities to assess your business and to identify you. To prevent this from happening, it is best to be proactive in maintaining your records. You can update your records through the Secretary of State’s website.

In addition to filing the articles of organization, you will also need to file a Statement of Acceptance of Appointment with the Designated Initial Registered Agent. An annual report is a type of record keeping that keeps a detailed history of your LLC’s transactions, appointments and other activities. It is a requirement in most states to file an annual report.

An operating agreement is another document that you should not forget to file. An operating agreement describes the structure of your business and the allocation of profit. It is also useful for protecting your business from internal disputes. Operating agreements also protect your LLC from creditors. They are cheaper to use than paying attorneys.

Another important document you should file with your state is the Employer Identification Number (EIN). An EIN is like a social security number for your business. Most businesses with employees must obtain an EIN. Some states have their own fees and rules for filing the document.

New Mexico is not an exception. Regardless of whether you choose to form an LLC or a sole proprietorship, you will need to register your business with the New Mexico Taxation and Revenue Department. Your business will need to pay a corporate franchise tax. Also, your business must pay a gross receipts tax. Gross receipts is essentially sales tax. The amount of tax you are required to pay varies depending on the location of your business.

There are also many other taxes that you will need to pay. You will need to file a Statement of Qualification with your state, as well as an annual report. Additionally, you may be required to pay an Employee Withholding Tax.

Despite these requirements, you do not have to pay a fee to form an LLC in New Mexico. But you must be aware that you are liable for federal income tax if your LLC is a disregarded entity. If your LLC is a disregarded entity, you will need to file a Pass-Through Entity Informational Tax Return. These can be downloaded from the state’s website.

FAQs

Is it essential to file an Annual Report?

Yes, an annual report is essential for every business entity in most states. Some states also ask to file biennial or decennial reports to be filed.

What are the contents of the Annual Report?

A Yearly Business Report or the annual report typically incorporates the address of the business, names & addresses of the members, a list of all the signatories, SSN of the members, & details of the registered agent.

Why is hiring a Registered Agent necessary in filing the Annual Report?

A Registered Agent is well-aware of all the filing requirements, annual report filing fee, & overall Annual Report compliance. The knowledge & proficiency of the registered agent allows the smooth filing of reports & other fees.

What do I have to do for the annual business report preparation?

The most important thing for filing an Annual Report is record keeping. Make sure that you document every other transaction well.

Do the filing fees change as per the types of companies?

Yes, the fees may vary depending on the type of entity or the type of legal entity you are representing.

In Conclusion

An LLC has to file many types of reports, such as Application for Reinstatement, Periodic Report of a limited partnership (usually filed by the exempt nonprofit organization), etc., which are required depending on the type of entity. The Annual Report is mandatory irrespective of the entity type. It requires compliance across entities.

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