Yes, you will pay state and federal income tax on your guaranteed payments. It is counted as ordinary income. You will see it on the Schedule E which flows to Schedule 1(line 17) which goes to the 1040 (line 6). You will not have to pay Gross Receipts taxes on that income. Here is what New Mexico says:
GROSS RECEIPTS TAX: An excise tax on the gross – not net -- receipts of persons who sell property in New Mexico, perform services in New Mexico, lease or license property used in New Mexico, grant a right to use a franchise employed in New Mexico, or sell research and development services performed outside New Mexico when initial use of the product of the services occurs in this state. Note: state and local governments selling gas, electricity and cable television services are liable for the gross receipts tax. See attached.
