Updated February 16, 2022
A New Mexico independent contractor agreement is a document that is used to establish the terms of employment between a contractor and their client. An independent contractor can be an individual, business, or corporation, as long as they operate independently and outside the normal course of business for the client. Unlike an employee, the contractor is responsible for paying their own income tax and obtaining liability insurance. The written agreement must clearly list the services to be performed, the schedule and amount of payment(s), as well as the contract expiration date and/or project due date. In addition to providing a record of the agreement for tax and legal purposes, the form ensures that both parties will fulfill the terms of the contract.