Commuter taxes 2026

Live in Texas, work in New Mexico

Your home state has no income tax, so there is no credit to offset the work state's tax. You pay the work state as a nonresident.

State income tax: $3,569 a year

Living in Texas and working in New Mexico, you'd pay about $3,569 in state income tax on $100,000 of wages, $3,569 more than if you worked in Texas.

Your home state has no income tax, so there is no credit to offset the work state's tax. You pay the work state as a nonresident.

Tax to New Mexico
$3,569
nonresident
Tax to Texas
$0
resident
Total state tax
$3,569
State returns to file
1

State tax at different salaries

WagesTo NMTo TXTotalIf you worked in TX
$50,000$1,184$0$1,184$0
$75,000$2,359$0$2,359$0
$100,000$3,569$0$3,569$0
$150,000$6,019$0$6,019$0
$250,000$11,158$0$11,158$0

Single filer, all wages earned in New Mexico, 2026 state tax rules, standard deductions. Local income taxes not included.

What to do

Frequently asked questions

Do I pay New Mexico income tax if I live in Texas?

Yes. New Mexico taxes wages earned there by nonresidents. On $100,000 that's about $3,569.

Do I have to file taxes in both Texas and New Mexico?

Usually you file only one state return (a nonresident return in New Mexico), though some states still require a nonresident return to get a refund of any wrongly withheld tax.

Will I be taxed twice?

No. Texas has no income tax, so you pay only New Mexico's nonresident tax: about $3,569 on $100,000.

Related

Rules reviewed 2026-09-24 from state revenue departments and the Tax Foundation. Estimates only; confirm with each state's revenue department.