After you file

You probably aren't getting taxed on all of your income in New Mexico, but the form is misleading. 

Look at Line 18a at the bottom of page 1 of Form PIT-1. 

This amount should be pulling from PIT-B, New Mexico Allocation and Apportionment of Income Schedule, Line 14. 

Line 14  on Form PIT-B is the tax being calculated only from your New Mexico sources.

Therefore, even though on page 1 of Form PIT-1, it seems like it is taxing on all income, but it actually isn't. 

You should be able to see Code B in box 18a.  This shows it only taxed income from the allocation schedule.

Please comment if you still have questions!