AFTR Course for New Mexico Tax Preparers: What the 2027 Season Requires
- Non-exempt New Mexico preparers need 18 hours of CE, including the 6-hour AFTR course, by December 31, 2026, to earn the 2027 Record of Completion.
- Under NMSA 7-1-71.4, preparers of more than 25 New Mexico personal income tax returns must e-file them, with a $5-per-return penalty for violations.
- We found no separate New Mexico preparer license or state CE requirement; a federal PTIN is the baseline credential.
- Exempt preparers (CTEC, Oregon OBTP, Maryland board registrants, recent SEE Part 1 passers) need only 15 hours and skip the AFTR.
§1 What New Mexico Asks of Paid Preparers
New Mexico personal income tax returns are filed with the New Mexico Taxation and Revenue Department (TRD). According to TRD, Section 7-1-71.4 NMSA 1978 requires paid preparers who prepare more than 25 New Mexico personal income tax returns to submit them through Department-approved electronic media. Returns prepared within an office or branch using the same EIN count toward the threshold. A client can decline e-filing by signing Form RPD-41338, which the preparer keeps on file for three years, and the preparer checks the paid-preparer box on the PIT-1. TRD lists a $5 penalty per return filed in violation.
That is an e-file rule, not a competency credential. We found no separate New Mexico preparer license, exam, or state CE program, so confirm with TRD at tax.newmexico.gov if you’re opening a new practice. For continuing education, the IRS is what governs.
§2 Exempt vs. Non-Exempt: Where New Mexico Preparers Land
New Mexico isn’t one of the three states — Oregon, California, and Maryland — whose credential holders qualify for the IRS’s AFSP exemption. Most non-credentialed New Mexico preparers are on the standard non-exempt track with the full 18-hour package including the AFTR. See our full exempt vs. non-exempt guide.
§3 The Hour-by-Hour Breakdown for Non-Exempt Preparers
Non-exempt New Mexico preparers need 18 CE hours from IRS-approved providers before the December 31 cutoff.
SCHEDULE A — NON-EXEMPT PREPARER CE REQUIREMENTS (2027 FILING SEASON)
| Course Category | Required Hours |
|---|---|
| Annual Federal Tax Refresher (AFTR) — includes comprehension test | 6 |
| Federal Tax Law Topics | 10 |
| Ethics | 2 |
| Total | 18 |
The 10 federal tax law hours can come from any IRS-approved subject area; the 2 ethics hours must come from a course approved for AFSP ethics credit. The AFTR is a single timed course with a built-in comprehension test.
§4 The AFTR Course: What to Expect
The AFTR is a 6-hour course offered by IRS-approved providers between June 1 and December 31 of the year before the filing season, so for 2027 your window closes December 31, 2026. It covers upcoming federal tax law changes and common preparer errors, and ends with a pass/fail test — see what the test looks like.
§5 Deadlines and the Record of Completion
December 31, 2026. All CE hours — including the AFTR for non-exempt preparers — must be completed and reported to the IRS by this date to earn the 2027 filing season Record of Completion.
Your IRS-approved provider reports completed hours directly to the IRS. Verify them on your IRS CE transcript, and keep your PTIN current — an expired one voids the Record of Completion.
§6 Why the Federal Credential Matters in New Mexico
The AFSP Record of Completion adds a listing in the IRS’s public Tax Pro Directory and limited representation rights for returns you prepared. New Mexico’s e-file rule governs how you file, not how current your knowledge is, so the federal credential is the publicly checkable signal. For the AFSP hours, see our companion page on AFSP requirements for New Mexico preparers, and browse the AFSP & AFTR guide hub.
§7 FAQs
Does New Mexico require its own tax preparer license?
We found no New Mexico preparer license, exam, or CE mandate. New Mexico does have an e-file requirement for preparers of more than 25 personal income tax returns. A federal PTIN is the baseline, and the voluntary IRS AFSP is the main continuing-education credential.
Do AFSP and AFTR requirements differ in New Mexico?
No. They are federal and identical nationwide.
I’m CTEC- or OBTP-registered and also prepare New Mexico returns. Does that exemption carry over?
Yes. AFSP exempt status follows your credential, not the state where you prepare returns.
What happens if I miss the December 31 deadline?
You won’t receive a Record of Completion for that filing season; see what missing it costs you.
Related reading
Tax IQ Academy is an IRS and CTEC approved provider of continuing education for tax professionals, offering AFSP, AFTR, and EA exam prep courses covering federal tax law, ethics, and practice management.