The New Mexico Taxation and Revenue Department recently updated FYI-206, describing the gross receipts tax collection responsibilities for online marketplace providers and marketplace without physical presence in New Mexico. Marketplace providers and marketplace sellers with at least $100,000 of taxable gross receipts in New Mexico in the previous calendar year have a tax collection obligation. Marketplace sellers that make taxable sales through marketplaces have gross receipts subject to tax, even if the marketplace provider has the same taxable gross receipts. However, to offset the potential double-taxation, the marketplace seller is allowed a deduction for those receipts on which the marketplace provider pays the gross receipts tax. Additionally, beginning July 1, 2021, New Mexico began destination sourcing, so tax rates are based on the location where the buyer receives the property.