reglab/statecodes huggingface dataset:
New Mexico Administrative Code › Title 3 - TAXATION › Chapter 2 - GROSS RECEIPTS TAXES › Part 249 - DEDUCTION - GROSS RECEIPTS TAX - LEASING OF CONSTRUCTION EQUIPMENT › Section 3.2.249.3 - STATUTORY AUTHORITY

Current through Register Vol. 35, No. 13, July 16, 2024
Section
				  9-11-6.2
				  NMSA 1978.
New Mexico Administrative Code › Title 3 - TAXATION › Chapter 2 - GROSS RECEIPTS TAXES › Part 249 - DEDUCTION - GROSS RECEIPTS TAX - LEASING OF CONSTRUCTION EQUIPMENT › Section 3.2.249.5 - EFFECTIVE DATE

Current through Register Vol. 35, No. 13, July 16, 2024
December 14, 2012, unless a later date is cited at the end of
				  a section, in which case the later date is the effective
				  date.
New Mexico Administrative Code › Title 3 - TAXATION › Chapter 2 - GROSS RECEIPTS TAXES › Part 249 - DEDUCTION - GROSS RECEIPTS TAX - LEASING OF CONSTRUCTION EQUIPMENT › Section 3.2.249.6 - OBJECTIVE

Current through Register Vol. 35, No. 13, July 16, 2024
The objective of this part is to interpret, exemplify,
				  implement and enforce the provisions of the Gross Receipts and Compensating Tax
				  Act.
New Mexico Administrative Code › Title 3 - TAXATION › Chapter 2 - GROSS RECEIPTS TAXES › Part 249 - DEDUCTION - GROSS RECEIPTS TAX - LEASING OF CONSTRUCTION EQUIPMENT › Section 3.2.249.8 - LEASE OF CONSTRUCTION EQUIPMENT - GENERAL

Current through Register Vol. 35, No. 13, July 16, 2024
A. Receipts from leasing construction
				equipment, with or without operators, on or after January 1, 2013, to a person
				engaged in the construction business may be deducted from the lessor's gross
				receipts pursuant to Section
				7-9-52.1
				NMSA 1978.
B. Example 1: A is
				regularly engaged in the lease and rental of construction equipment. A enters
				into an agreement to lease a crane with an operator to a contractor engaged in
				the construction business to be used on a construction project. The contractor
				will direct all of the activity of the crane and operator on the construction
				site. A's receipts from the lease of the crane with an operator are receipts
				from leasing construction equipment pursuant to Section
				7-9-52.1
				NMSA 1978 and are deductible.
C.
				Example 2: X is a heating and air conditioning subcontractor on a construction
				project. X owns a crane which X regularly uses to lift equipment onto the roof
				of buildings on which X works. X's receipts for construction services includes
				payment for using the crane. X may deduct those receipts under Section
				7-9-52
				NMSA 1978. If, however, X agrees to lease the crane with an operator to the
				prime contractor for work unrelated to the subcontract, which work is performed
				at the direction of the prime contractor, X would not be able to deduct the
				receipts for the leasing of the crane under Section
				7-9-52
				NMSA 1978, but could deduct the receipts under Section
				7-9-52.1
				NMSA 1978 as receipts from the lease of construction equipment.
D. Example 3: C is engaged in the
				construction business. C hires S, a scaffolding-rental company, to deliver
				scaffolding to a specific construction project, erect the scaffolding, inspect
				the equipment daily for continued safety compliance, disassemble the
				scaffolding and transport it away from the construction site upon completion of
				the project. C may execute a nontaxable transaction certificate to S for the
				lease of the scaffolding pursuant to Section
				7-9-52.1
				NMSA 1978.
E. This version of
				3.2.249.8 NMAC applies to transactions occurring on or after January 1,
				2013.
New Mexico Administrative Code › Title 3 - TAXATION › Chapter 2 - GROSS RECEIPTS TAXES › Part 249 - DEDUCTION - GROSS RECEIPTS TAX - LEASING OF CONSTRUCTION EQUIPMENT › Section 3.2.249.9 - LEASE OF CONSTRUCTION EQUIPMENT - OIL FIELD

Current through Register Vol. 35, No. 13, July 16, 2024
A. Receipts from the lease of construction
				equipment on or after January 1, 2013, may be deducted from gross receipts tax
				if the leased items are used on a construction project and the requirements of
				Section
				7-9-52.1
				NMSA 1978 are met. The following are some examples of items that if leased to a
				person engaged in the construction business would be deductible under Section
				7-9-52.1
				NMSA 1978:
(1) drilling equipment, including
				derricks, blocks, substructures, draw-works, flooring, rotary tables, engines,
				mud pumps, pipe racks, tanks, doghouses, hoses, water and fuel lines, water
				well equipment, blowout preventers and other drilling equipment and
				tools;
(2) drill stems, drill
				collars, subs and kelly; and
(3)
				fishing tools.
New Mexico Administrative Code › Title 3 - TAXATION › Chapter 2 - GROSS RECEIPTS TAXES › Part 250 - DEDUCTION - GROSS RECEIPTS AND COMPENSATING TAXES - LOCOMOTIVE FUEL › Section 3.2.250.2 - SCOPE

Current through Register Vol. 35, No. 13, July 16, 2024
This part applies to each person claiming the locomotive fuel
				  deduction from gross receipts or in computing the compensating
				  tax.
New Mexico Administrative Code › Title 3 - TAXATION › Chapter 2 - GROSS RECEIPTS TAXES › Part 250 - DEDUCTION - GROSS RECEIPTS AND COMPENSATING TAXES - LOCOMOTIVE FUEL › Section 3.2.250.3 - STATUTORY AUTHORITY

Current through Register Vol. 35, No. 13, July 16, 2024
The promulgation of rules for the issuance of a certificate
				  of eligibility for the purposes of claiming a deduction of receipts from the
				  sale of fuel loaded or used by a common carrier in a locomotive engine from
				  gross receipts and of claiming a deduction of the value of fuel to be loaded or
				  used by a common carrier in a locomotive engine in computing the compensating
				  tax shall be the responsibility of the economic development department pursuant
				  to the governing legislation, NMSA 1978, Section
				  7-9-110.3(D).
New Mexico Administrative Code › Title 3 - TAXATION › Chapter 2 - GROSS RECEIPTS TAXES › Part 250 - DEDUCTION - GROSS RECEIPTS AND COMPENSATING TAXES - LOCOMOTIVE FUEL › Section 3.2.250.6 - OBJECTIVE

Current through Register Vol. 35, No. 13, July 16, 2024
The purpose of the deduction of receipts from the sale of
				  fuel loaded or used by a common carrier in a locomotive engine from gross
				  receipts and of the deduction of the value of fuel to be loaded or used by a
				  common carrier in a locomotive engine in computing the compensating tax is to
				  encourage the construction, renovation, maintenance and operation of railroad
				  locomotive refueling facilities and related activities in New
				  Mexico.
New Mexico Administrative Code › Title 3 - TAXATION › Chapter 2 - GROSS RECEIPTS TAXES › Part 250 - DEDUCTION - GROSS RECEIPTS AND COMPENSATING TAXES - LOCOMOTIVE FUEL › Section 3.2.250.7 - DEFINITIONS

Current through Register Vol. 35, No. 13, July 16, 2024
For the purposes of this section, "locomotive engine" means a
				  wheeled vehicle consisting of a self-propelled engine that is used to draw
				  trains along railway tracks.
New Mexico Administrative Code › Title 3 - TAXATION › Chapter 2 - GROSS RECEIPTS TAXES › Part 250 - DEDUCTION - GROSS RECEIPTS AND COMPENSATING TAXES - LOCOMOTIVE FUEL › Section 3.2.250.8 - QUALIFICATIONS AND REQUIREMENTS

Current through Register Vol. 35, No. 13, July 16, 2024
A. To be eligible for the deduction of
				receipts from the sale of fuel loaded or used by a common carrier in a
				locomotive engine from gross receipts, the sale shall be made to a common
				carrier that, after July 1, 2011, made a capital investment of one hundred
				million dollars ($100,000,000) or more in new construction or renovations at
				the railroad locomotive refueling facility in which the fuel is sold, and the
				common carrier shall deliver an appropriate nontaxable transaction certificate
				to the seller.
B. To be eligible
				for the deduction of the value fuel loaded or used by a common carrier in a
				locomotive engine in computing the compensating tax, the fuel shall be used or
				loaded by a common carrier that, after July 1, 2011, made a capital investment
				of one hundred million dollars ($100,000,000) or more in new construction or
				renovations at the railroad locomotive refueling facility in which the fuel is
				loaded or used.
C. A common carrier
				may request a certificate of eligibility from the economic development
				department to provide to the taxation and revenue department to establish
				eligibility for a nontaxable transaction certificate for the deduction of
				receipts from the sale of fuel loaded or used by a common carrier in a
				locomotive engine from gross receipts and for the deduction of the value of
				fuel loaded or used by a common carrier in a locomotive engine in computing the
				compensating tax.
(1) A common carrier shall
				apply to the economic development department for a certificate of eligibility
				on forms provided by the economic development department.
(2) Applications shall be considered in the
				order received.
(3) A common
				carrier requesting a certificate of eligibility from the economic development
				department shall provide such information as the economic development
				department deems necessary to determine that the common carrier has made a
				capital investment of one hundred million dollars ($100,000,000) or more in new
				construction or renovations at a railroad locomotive refueling facility after
				July 1, 2011.
(4) If the economic
				development department determines that a common carrier has applied for a
				certificate of eligibility on forms provided by the economic development
				department in the manner prescribed by these rules, made a capital investment
				of one hundred million dollars ($100,000,000) or more in new construction or
				renovations at the railroad locomotive refueling facility in which the fuel is
				sold, and complied with all reporting requirements, it shall issue a
				certificate of eligibility to the common carrier.
(5) The certificate of eligibility shall be
				dated.
New Mexico Administrative Code › Title 3 - TAXATION › Chapter 2 - GROSS RECEIPTS TAXES › Part 250 - DEDUCTION - GROSS RECEIPTS AND COMPENSATING TAXES - LOCOMOTIVE FUEL › Section 3.2.250.9 - REPORTING

Current through Register Vol. 35, No. 13, July 16, 2024
A. Every taxpayer
				that claims a deduction under Section
				7-9-110.1
				NMSA 1978 shall report to the economic development department, on forms
				provided by the department, the following information no later than August 1
				for the full year ending on the previous June 30:
(1) the amount of the deduction
				claimed;
(2) the number of
				permanent jobs created by the taxpayer as a result of the deductions
				claimed;
(3) the number of
				temporary jobs created by the taxpayer as a result of the deductions claimed;
				and
(4) an estimate of the net
				revenue to the state as a result of the deductions claimed.
New Mexico Administrative Code › Title 3 - TAXATION › Chapter 2 - GROSS RECEIPTS TAXES › Part 300 - CREDIT - GROSS RECEIPTS TAX - SERVICES › Section 3.2.300.1 - ISSUING AGENCY

Current through Register Vol. 35, No. 13, July 16, 2024
Taxation and Revenue Department, Joseph M. Montoya Building,
				  1100 South St. Francis Drive, P.O. Box 630, Santa Fe NM
				  87504-0630.
New Mexico Administrative Code › Title 3 - TAXATION › Chapter 2 - GROSS RECEIPTS TAXES › Part 300 - CREDIT - GROSS RECEIPTS TAX - SERVICES › Section 3.2.300.3 - STATUTORY AUTHORITY

Current through Register Vol. 35, No. 13, July 16, 2024
Section
				  9-11-6.2
				  NMSA 1978.
New Mexico Administrative Code › Title 3 - TAXATION › Chapter 2 - GROSS RECEIPTS TAXES › Part 300 - CREDIT - GROSS RECEIPTS TAX - SERVICES › Section 3.2.300.5 - EFFECTIVE DATE

Current through Register Vol. 35, No. 13, July 16, 2024
October 13, 2021, unless a later date is cited at the end of
				  a section, in which case the later date is the effective
				  date.
New Mexico Administrative Code › Title 3 - TAXATION › Chapter 2 - GROSS RECEIPTS TAXES › Part 300 - CREDIT - GROSS RECEIPTS TAX - SERVICES › Section 3.2.300.6 - OBJECTIVE

Current through Register Vol. 35, No. 13, July 16, 2024
The objective of this part is to interpret, exemplify,
				  implement and enforce the provisions of the Gross Receipts and Compensating Tax
				  Act.
New Mexico Administrative Code › Title 3 - TAXATION › Chapter 2 - GROSS RECEIPTS TAXES › Part 300 - CREDIT - GROSS RECEIPTS TAX - SERVICES › Section 3.2.300.8 - CREDIT FOR TAX PAID TO ANOTHER STATE ON SERVICES

Current through Register Vol. 35, No. 13, July 16, 2024
The credit allowed pursuant to the provisions of Section
				  7-9-79.1
				  NMSA 1978 shall not exceed the lesser of:
A. the actual amount of tax paid to the other
				state, paid to any political subdivision of the other state or the combined
				total paid to the other state and political subdivisions of that state;
				or
B. the amount determined by
				multiplying the total consideration received from the sale of the service
				exclusive of the amount of tax paid to the other state and any political
				subdivision of that state times the rate of gross receipts tax imposed under
				Section
				7-9-4
				NMSA 1978.
New Mexico Administrative Code › Title 3 - TAXATION › Chapter 2 - GROSS RECEIPTS TAXES › Part 300 - CREDIT - GROSS RECEIPTS TAX - SERVICES › Section 3.2.300.9 - CREDIT FOR TAX PAID ON SERVICES PERFORMED OUTSIDE THE STATE

Current through Register Vol. 35, No. 13, July 16, 2024
Under Section
				  7-9-79.1
				  NMSA 1978, if another state's sales, gross receipts, or similar tax is paid on
				  services performed outside the state, the gross receipts from which would be
				  subject to the New Mexico gross receipts tax, the taxpayer may take a credit
				  for against the gross receipts tax owed for an amount of the other state's tax
				  paid, provided the credit may not exceed gross receipts tax due on each
				  transaction.
New Mexico Administrative Code › Title 3 - TAXATION › Chapter 2 - GROSS RECEIPTS TAXES › Part 301 - CREDIT - COMPENSATING TAX › Section 3.2.301.1 - ISSUING AGENCY

Current through Register Vol. 35, No. 13, July 16, 2024
Taxation and Revenue Department, Joseph M. Montoya Building,
				  1100 South St. Francis Drive, P.O. Box 630, Santa Fe NM
				  87504-0630
New Mexico Administrative Code › Title 3 - TAXATION › Chapter 2 - GROSS RECEIPTS TAXES › Part 301 - CREDIT - COMPENSATING TAX › Section 3.2.301.5 - EFFECTIVE DATE

Current through Register Vol. 35, No. 13, July 16, 2024
11/15/96, unless a later date is cited at the end of a
				  section, in which case the later date is the effective date.
New Mexico Administrative Code › Title 3 - TAXATION › Chapter 2 - GROSS RECEIPTS TAXES › Part 301 - CREDIT - COMPENSATING TAX › Section 3.2.301.6 - OBJECTIVE

Current through Register Vol. 35, No. 13, July 16, 2024
The objective of this part is to interpret, exemplify,
				  implement and enforce the provisions of the Gross Receipts and Compensating Tax
				  Act.
New Mexico Administrative Code › Title 3 - TAXATION › Chapter 2 - GROSS RECEIPTS TAXES › Part 301 - CREDIT - COMPENSATING TAX › Section 3.2.301.8 - LIMIT ON CREDIT

Current through Register Vol. 35, No. 13, July 16, 2024
A.
				The credit under Section
				7-9-79
				NMSA 1978 cannot exceed the amount of compensating tax assessed by New Mexico
				on the property on which the out-of-state tax was paid, and excess amounts
				cannot be applied to other out-of-state purchases.
B. Example 1: Q, a New Mexico construction
				company, purchased a power unit in California for $50,000 and a trenching
				implement in Texas for $20,000. The sales tax rates applicable to the purchases
				were 5.5% in California and 3% in Texas. When bringing the equipment into New
				Mexico, a 5% compensating tax is imposed on Q. Q is allowed a credit for
				similar taxes paid in other states on the same property. The New Mexico
				compensating tax imposed on the California transaction is $2,500 ($50,000 x
				.05). Q paid $2,750 ($50,000 x .055) in California tax and therefore is
				entitled to a credit for the full amount of the New Mexico compensating tax. On
				the Texas transaction, the New Mexico compensating tax is $1,000 ($20,000 x
				.05). Q paid $600 ($20,000 x .03) in Texas tax and therefore the balance of the
				New Mexico tax liability on this transaction is $400 ($1,000 - $600). Q cannot
				use the excess credit on the California transaction to offset the balance of
				the liability on the Texas transaction.
C. Example 2: B, a machine company, buys a
				lathe in Texas for $50,000. The Texas sales tax is 6% at the time the purchase
				is made, and B pays $3,000 Texas sales tax. B uses the lathe in Texas for six
				years and then brings it into New Mexico to use in a new shop it is opening.
				The value of the lathe at the time it enters New Mexico is $25,000. The New
				Mexico compensating tax owed is $1,250 ($25,000 x .05). The maximum amount of
				tax credit allowed B will be $3,000. B, therefore, does not owe New Mexico
				compensating tax on its use of the lathe.
New Mexico Administrative Code › Title 3 - TAXATION › Chapter 2 - GROSS RECEIPTS TAXES › Part 301 - CREDIT - COMPENSATING TAX › Section 3.2.301.9 - CREDIT FOR COMPENSATING TAX PAID ON CONSTRUCTION PROJECTS

Current through Register Vol. 35, No. 13, July 16, 2024
A. A credit, equal to the amount of
				compensating tax paid to the department on the value of a construction project
				by a person engaged in the construction business, is allowed against the gross
				receipts tax due from that person on the receipts from the sale.
B. Only the tax paid to the department by the
				person engaged in the construction business is creditable under Section
				7-9-79
				NMSA 1978. Penalty and interest assessed by the department on compensating tax
				not reported and paid on time will not be credited.
New Mexico Administrative Code › Title 3 - TAXATION › Chapter 2 - GROSS RECEIPTS TAXES › Part 302 - CREDIT - GROSS RECEIPTS TAX - SERVICE FOR RESALE › Section 3.2.302.1 - ISSUING AGENCY

Current through Register Vol. 35, No. 13, July 16, 2024
Taxation and Revenue Department, Joseph M. Montoya Building,
				  1100 South St. Francis Drive, P.O. Box 630, Santa Fe NM
				  87504-0630
New Mexico Administrative Code › Title 3 - TAXATION › Chapter 2 - GROSS RECEIPTS TAXES › Part 302 - CREDIT - GROSS RECEIPTS TAX - SERVICE FOR RESALE › Section 3.2.302.3 - STATUTORY AUTHORITY

Current through Register Vol. 35, No. 13, July 16, 2024
Section
				  9-11-6.2
				  NMSA 1978.
New Mexico Administrative Code › Title 3 - TAXATION › Chapter 2 - GROSS RECEIPTS TAXES › Part 302 - CREDIT - GROSS RECEIPTS TAX - SERVICE FOR RESALE › Section 3.2.302.5 - EFFECTIVE DATE

Current through Register Vol. 35, No. 13, July 16, 2024
4/14/06, unless a later date is cited at the end of a
				  section, in which case the later date is the effective date.
New Mexico Administrative Code › Title 3 - TAXATION › Chapter 2 - GROSS RECEIPTS TAXES › Part 302 - CREDIT - GROSS RECEIPTS TAX - SERVICE FOR RESALE › Section 3.2.302.6 - OBJECTIVE

Current through Register Vol. 35, No. 13, July 16, 2024
The objective of this part is to interpret, exemplify,
				  implement and enforce the provisions of the Gross Receipts and Compensating Tax
				  Act.
New Mexico Administrative Code › Title 3 - TAXATION › Chapter 2 - GROSS RECEIPTS TAXES › Part 302 - CREDIT - GROSS RECEIPTS TAX - SERVICE FOR RESALE › Section 3.2.302.8 - SERVICE FOR RESALE TAX CREDIT

Current through Register Vol. 35, No. 13, July 16, 2024
A.
Qualifying sales conditions.
The seller of a service may qualify for the credit if the transaction meets
				these conditions:
(1) the sale for which the
				credit is sought is subject to gross receipts tax or governmental gross
				receipts tax;
(2) the service is
				sold for subsequent resale;
(3) the
				subsequent resale is not subject to the gross receipts tax; and
(4) the buyer of the service certifies to the
				seller in writing and in a form prescribed by the secretary that the subsequent
				resale is in the ordinary course of the buyer's business and will not be
				subject to gross receipts tax or governmental gross receipts tax.
New Mexico Administrative Code › Title 3 - TAXATION › Chapter 3 - PERSONAL INCOME TAXES › Part 1 - GENERAL PROVISIONS › Section 3.3.1.1 - ISSUING AGENCY

Current through Register Vol. 35, No. 13, July 16, 2024
Taxation and Revenue Department, Joseph M. Montoya Building,
				  1100 South St. Francis Drive, P.O. Box 630, Santa Fe NM
				  87504-0630
New Mexico Administrative Code › Title 3 - TAXATION › Chapter 3 - PERSONAL INCOME TAXES › Part 1 - GENERAL PROVISIONS › Section 3.3.1.2 - SCOPE

Current through Register Vol. 35, No. 13, July 16, 2024
This part applies to each resident of New Mexico and to each
				  nonresident employed or engaged in the transaction of business in, into or from
				  New Mexico or deriving any income from any property or employment in New
				  Mexico.
New Mexico Administrative Code › Title 3 - TAXATION › Chapter 3 - PERSONAL INCOME TAXES › Part 1 - GENERAL PROVISIONS › Section 3.3.1.5 - EFFECTIVE DATE

Current through Register Vol. 35, No. 13, July 16, 2024
1/15/97, unless a later date is cited at the end of a
				  section, in which case the later date is the effective date.
New Mexico Administrative Code › Title 3 - TAXATION › Chapter 3 - PERSONAL INCOME TAXES › Part 1 - GENERAL PROVISIONS › Section 3.3.1.7 - DEFINITIONS

Current through Register Vol. 35, No. 13, July 16, 2024
For purposes of Subsection S of Section
				  7-2-2 NMSA and
				  Section
				  3.3.1.9 NMAC, a "day"
				  is any consecutive 24-hour period.
New Mexico Administrative Code › Title 3 - TAXATION › Chapter 3 - PERSONAL INCOME TAXES › Part 1 - GENERAL PROVISIONS › Section 3.3.1.8 - CITATION OF REGULATIONS

Current through Register Vol. 35, No. 13, July 16, 2024
Unless otherwise stated, all citations of statutes in Title
				  3, Chapter 3 NMAC pertaining to the Income Tax Act are to the New Mexico
				  Statutes Annotated, 1978 (NMSA 1978).
New Mexico Administrative Code › Title 3 - TAXATION › Chapter 3 - PERSONAL INCOME TAXES › Part 1 - GENERAL PROVISIONS › Section 3.3.1.9 - RESIDENCY

Current through Register Vol. 35, No. 13, July 16, 2024
A.
Full-year
				residents.
For purposes of the Income Tax Act, the following are
				full-year residents of this state:
(1) an
				individual domiciled in this state during all of the taxable year, or
(2) an individual other than an individual
				described in Subsection D of this section who is physically present in this
				state for a total of one hundred eighty-five (185) days or more in the
				aggregate during the taxable year, regardless of domicile.
New Mexico Administrative Code › Title 3 - TAXATION › Chapter 3 - PERSONAL INCOME TAXES › Part 1 - GENERAL PROVISIONS › Section 3.3.1.11 - REQUIREMENTS FOR CLAIMING DEPENDENTS AS PERSONAL EXEMPTIONS

Current through Register Vol. 35, No. 13, July 16, 2024
A. Except as otherwise provided by 3.3.1.11
				NMAC, each dependent claimed as a personal exemption for New Mexico income tax
				purposes must meet the tests of dependency in Section 152 of the Internal
				Revenue Code as amended or renumbered. The taxpayer shall provide the name of
				each dependent and the social security number for any dependent who is two
				years of age or older when required to do so by the instructions to the New
				Mexico income tax return. The personal exemption amount claimed for a dependent
				may be disallowed if the dependent does not meet the tests of dependency or if
				required information is not provided.
B. For purposes of claiming a tax rebate or
				credit for which eligibility is determined by the amount of modified gross
				income, a dependent must meet all tests of dependency required by Section 152
				of the Internal Revenue Code except the requirement that public assistance
				provide less than half of the dependent's total support.
New Mexico Administrative Code › Title 3 - TAXATION › Chapter 3 - PERSONAL INCOME TAXES › Part 1 - GENERAL PROVISIONS › Section 3.3.1.12 - INCOME FROM OBLIGATIONS OF GOVERNMENTS

Current through Register Vol. 35, No. 13, July 16, 2024
A.
Income from United States government
				obligations.
(1) Income from
				obligations issued by the United States are not includable in net
				income.
(2) Because they are not
				obligations of the United States, income from investment in the following is
				includable in net income:
(a) financial
				instruments guaranteed by the federal national mortgage association ("Fannie
				Maes"), the government national mortgage association ("Ginnie Maes"), the
				federal national home loan association ("Freddie Macs") and any similar
				organization whose income states are not prohibited by federal law from
				subjecting to income taxation;
(b)
				financial instruments issued by the College Construction Loan Insurance
				Corporation or the National Consumer Cooperative Bank;
(c) agreements ("repo's") to sell and
				repurchase United States government obligations; and
(d) agreements ("reverse repo's") to purchase
				and resell United States government obligations.
(3) This version of Subsection 3.3.1.12A NMAC
				is retroactively effective for taxable years beginning on or after January 1,
				1991.
New Mexico Administrative Code › Title 3 - TAXATION › Chapter 3 - PERSONAL INCOME TAXES › Part 1 - GENERAL PROVISIONS › Section 3.3.1.13 - NET OPERATING LOSSES

Current through Register Vol. 35, No. 13, July 16, 2024
A.
Net operating losses; generated by deduction of income from United States
				obligations.
(1) Section 3.3.1.13 NMAC
				and subsections thereunder apply to the income of a taxpayer derived from any
				unincorporated business.
(2) If,
				for an unincorporated business, the exclusion of income from obligations of the
				United States of America results in a negative amount for New Mexico net income
				for that business for a taxable year, the resulting negative amount may be
				deemed to be a net operating loss for that taxable year. The taxpayer must
				establish the loss from exclusion of income from obligations of the United
				States of America by filing a New Mexico return or amended return within the
				time period set forth in Section
				7-2-12
				NMSA 1978, Subsections B, C and E of Section
				7-1-26
				NMSA 1978. An amended return carrying back or forward any such net operating
				loss must be filed within the time period set forth in Subsections B, C and E
				of Section
				7-1-26
				NMSA 1978. The taxpayer shall apply relevant provisions of
				26 U.S.C. Section
				172 of the Internal Revenue Code to determine
				the years to which the net operating loss may be applied.
(3) Any net operating loss deemed created by
				this subsection (3.3.1.13A NMAC) may be carried back or forward in accordance
				with the provisions of Section
				7-2-2 NMSA 1978 and
				Subsections A through E of Section 3.3.1.13 NMAC. For taxable years beginning
				prior to January 1, 1991, the resulting taxable income shall then be allocated
				and apportioned in that year pursuant to the provisions of Section
				7-2-11
				NMSA 1978.
(4) For the purposes of
				Subsections A through E of Section 3.3.1.13 NMAC, the term "unincorporated
				business" includes:
(a) S corporations taxed
				as partnerships for federal income tax purposes; and
(b) limited liability companies formed
				pursuant to the Limited Liability Company Act or a similar law of another state
				which are not taxed as corporations for federal income tax purposes.
New Mexico Administrative Code › Title 3 - TAXATION › Chapter 3 - PERSONAL INCOME TAXES › Part 2 - WITHHOLDING WAGES AND UNEARNED INCOME › Section 3.3.2.1 - ISSUING AGENCY

Current through Register Vol. 35, No. 13, July 16, 2024
Taxation and Revenue Department, Joseph M. Montoya Building,
				  1100 South St. Francis Drive, P.O. Box 630, Santa Fe NM
				  87504-0630
New Mexico Administrative Code › Title 3 - TAXATION › Chapter 3 - PERSONAL INCOME TAXES › Part 2 - WITHHOLDING WAGES AND UNEARNED INCOME › Section 3.3.2.2 - SCOPE

Current through Register Vol. 35, No. 13, July 16, 2024
This part applies to each employer and to each person making
				  payment of a pension or annuity to an individual domiciled in New
				  Mexico.
New Mexico Administrative Code › Title 3 - TAXATION › Chapter 3 - PERSONAL INCOME TAXES › Part 2 - WITHHOLDING WAGES AND UNEARNED INCOME › Section 3.3.2.3 - STATUTORY AUTHORITY

Current through Register Vol. 35, No. 13, July 16, 2024
Section
				  9-11-6.2
				  NMSA 1978.
New Mexico Administrative Code › Title 3 - TAXATION › Chapter 3 - PERSONAL INCOME TAXES › Part 2 - WITHHOLDING WAGES AND UNEARNED INCOME › Section 3.3.2.5 - EFFECTIVE DATE

Current through Register Vol. 35, No. 13, July 16, 2024
1/15/97, unless a later date is cited at the end of a
				  section, in which case the later date is the effective date.
New Mexico Administrative Code › Title 3 - TAXATION › Chapter 3 - PERSONAL INCOME TAXES › Part 2 - WITHHOLDING WAGES AND UNEARNED INCOME › Section 3.3.2.6 - OBJECTIVE

Current through Register Vol. 35, No. 13, July 16, 2024
The objective of this part is to interpret, exemplify,
				  implement and enforce the provisions of the Withholding Tax
				  Act.
New Mexico Administrative Code › Title 3 - TAXATION › Chapter 3 - PERSONAL INCOME TAXES › Part 2 - WITHHOLDING WAGES AND UNEARNED INCOME › Section 3.3.2.8 - WITHHOLDING FROM IRREGULAR WAGES

Current through Register Vol. 35, No. 13, July 16, 2024
A. Employers who make lump sum distributions,
				one time bonuses and other irregular payments to employees in addition to
				regular wages and employers required to withhold tax on fringe benefits for
				federal purposes shall compute the state withholding in the same manner used
				for computing federal withholding on these items. The employer will then use
				the withholding tax tables issued by the department to compute the amount of
				withholding tax due.
B. If an
				employer elects to withhold, for federal purposes, a flat percentage of the
				lump-sum distribution, one-time bonus, fringe benefits and other irregular
				wages as provided in the Internal Revenue Code, the employer shall withhold a
				flat percentage for state withholding tax purposes. The flat percentage for
				state withholding tax purposes shall be a rate equal to the maximum bracket
				rate set by Section
				7-2-7
				NMSA 1978 for the taxable year.
New Mexico Administrative Code › Title 3 - TAXATION › Chapter 3 - PERSONAL INCOME TAXES › Part 2 - WITHHOLDING WAGES AND UNEARNED INCOME › Section 3.3.2.9 - TRANSPORTATION COMPANIES REQUIRED TO WITHHOLD FROM WAGES OF CERTAIN EMPLOYEES

Current through Register Vol. 35, No. 13, July 16, 2024
A. Railroads are
				required to withhold New Mexico withholding tax from the wages, salaries or
				other employee remuneration of any employee who is a resident of this state,
				without regard to the place of employment or amount of time which the employee
				performs services for the employer in this state or other states.
B. Motor carriers, private motor carriers and
				airlines shall withhold New Mexico income tax from the wages, salaries or other
				employee remuneration of any individual employee who is a resident of this
				state, without regard to the place of employment or amount of time which the
				employee performs services for the employer in this state or other
				states.
C. For purposes of this
				section (3.3.2.9 NMAC) the term "motor carrier" shall mean any person engaged
				in the business of transporting persons or property by motor vehicle which
				activity is subject to regulation by either the interstate commerce commission
				or the New Mexico public regulation commission. The term "private motor
				carrier" shall mean any person transporting persons or property by motor
				vehicle which activity is not subject to regulation by either the interstate
				commerce commission or the New Mexico public regulation commission but who is
				subject to the Motor Transportation Act. The term "airline" shall mean any
				person who provides airplane or other aircraft transportation of persons or
				property for consideration.
New Mexico Administrative Code › Title 3 - TAXATION › Chapter 3 - PERSONAL INCOME TAXES › Part 2 - WITHHOLDING WAGES AND UNEARNED INCOME › Section 3.3.2.10 - WITHHOLDING BY PASS-THROUGH ENTITIES

Current through Register Vol. 35, No. 13, July 16, 2024
A.
Withholding by pass-through
				entities; rate.
For periods beginning on or after January 1, 2004 and
				ending prior to January 1, 2011, the rate of withholding by pass-through
				entities pursuant to the provisions of Subsection D of Section
				7-3-12 NMSA 1978 shall
				equal the maximum bracket rate set by Section
				7-2-7
				NMSA 1978 for the taxable year.
B.
Withholding by pass-through entities; agreements; reasonable
				cause.
The obligation to collect and remit withholding amounts pursuant
				to Subsection D of Section
				7-3-12 NMSA 1978 may be
				avoided if the nonresident owner submits to the pass-through entity an
				agreement authorized by Subsection E of that section in the form and manner
				prescribed by the secretary. An agreement may be restricted to a single taxable
				year, may cover multiple years or may be put into effect for an indefinite term
				subject to revocation by the nonresident owner. An agreement must be in the
				possession of the pass-through entity at the time the pass-through entity files
				its return for the taxable year to which the agreement pertains. When a
				nonresident owner becomes a resident of New Mexico, the agreement submitted by
				that owner is revoked automatically, effective for the taxable year in which
				the change in residence took place. The obligation to withhold may also be
				avoided if the pass-through entity demonstrates that failure to withhold is due
				to a reasonable cause pursuant to Subsection B of Section
				7-3-5
				NMSA 1978.
C.
Due date
				exception.
The due date specified in Section
				7-3-6 NMSA 1978
				does not apply to payment of amounts withheld in accordance with Section
				7-3-12 NMSA 1978. The
				due date specified in Section
				7-3-12 NMSA 1978 with
				respect to such amounts controls.
D.
Crediting to tax year.
Amounts withheld pursuant to the provisions of Section
				7-3-12 NMSA 1978 with
				respect to an owner shall be credited to the owner for the same taxable year
				for which the income is required to be reported for federal income tax
				purposes.
E. Withholding by
				pass-through entities for periods beginning on or after January 1, 2011 is
				governed by the Oil and Gas Proceeds and Pass-Through Entity Withholding Tax
				Act and 3.3.5 NMAC. 3.3.2.10 NMAC does not apply to such withholding by
				pass-through entities after December 31, 2010 except as provided in Subsection
				E of 3.3.5.16 NMAC.
New Mexico Administrative Code › Title 3 - TAXATION › Chapter 3 - PERSONAL INCOME TAXES › Part 2 - WITHHOLDING WAGES AND UNEARNED INCOME › Section 3.3.2.11 - CLAIMS FOR SETTLEMENT PAYMENTS FROM THE NATIVE AMERICAN VETERANS' INCOME TAX SETTLEMENT FUND

Current through Register Vol. 35, No. 13, July 16, 2024
A. A
				claim for a settlement payment from the Native American veterans' income tax
				settlement fund may be made for any period of active duty in the armed forces
				of the United States during which the claimant or, where the claimant is a
				successor, the deceased veteran:
(1) was a
				member of a federally recognized Indian nation, tribe, or pueblo;
(2) was a resident within the boundaries of
				the Indian member's or the member's spouse's reservation or pueblo grant, or
				within the boundaries of lands held in trust by the United States for the
				benefit of the member or spouse or the member's or spouse's nation, tribe or
				pueblo; and
(3) had New Mexico
				personal income tax withheld from his or her active duty military pay, and the
				amount withheld:
(a) has not already been
				refunded to the claimant or the claimant's representative; and
(b) cannot be claimed as a refund by filing a
				New Mexico personal income tax return because the period for filing a refund
				has run under the applicable statute of limitations.
New Mexico Administrative Code › Title 3 - TAXATION › Chapter 3 - PERSONAL INCOME TAXES › Part 3 - IMPOSITION AND LEVY OF TAX › Section 3.3.3.1 - ISSUING AGENCY

Current through Register Vol. 35, No. 13, July 16, 2024
Taxation and Revenue Department, Joseph M. Montoya Building,
				  1100 South St. Francis Drive, P.O. Box 630, Santa Fe NM
				  87504-0630
New Mexico Administrative Code › Title 3 - TAXATION › Chapter 3 - PERSONAL INCOME TAXES › Part 3 - IMPOSITION AND LEVY OF TAX › Section 3.3.3.2 - SCOPE

Current through Register Vol. 35, No. 13, July 16, 2024
This part applies to each resident of New Mexico and to each
				  nonresident employed or engaged in the transaction of business in, into or from
				  New Mexico or deriving any income from any property or employment in New
				  Mexico.
New Mexico Administrative Code › Title 3 - TAXATION › Chapter 3 - PERSONAL INCOME TAXES › Part 3 - IMPOSITION AND LEVY OF TAX › Section 3.3.3.5 - EFFECTIVE DATE

Current through Register Vol. 35, No. 13, July 16, 2024
1/15/97, unless a later date is cited at the end of a
				  section, in which case the later date is the effective date.
New Mexico Administrative Code › Title 3 - TAXATION › Chapter 3 - PERSONAL INCOME TAXES › Part 3 - IMPOSITION AND LEVY OF TAX › Section 3.3.3.6 - OBJECTIVE

Current through Register Vol. 35, No. 13, July 16, 2024
The objective of this part is to interpret, exemplify,
				  implement and enforce the provisions of the Income Tax Act.
New Mexico Administrative Code › Title 3 - TAXATION › Chapter 3 - PERSONAL INCOME TAXES › Part 3 - IMPOSITION AND LEVY OF TAX › Section 3.3.3.7 - DEFINITIONS

Current through Register Vol. 35, No. 13, July 16, 2024
"Nonresident trust" defined. A trust is a nonresident trust
				  if the trustee responsible for the trust funds and for distributions from the
				  fund is a resident of another state. A nonresident trust is subject to New
				  Mexico income tax to the extent that it is engaged in the transaction of
				  business in, into or from this state or is deriving income from any property
				  located in this state. The presence of beneficiaries of the trust in New
				  Mexico, alone, will not cause a tax liability to become due from the trust
				  based on the activities of the trust. Beneficiaries who are residents of this
				  state will incur a tax liability on their share of distributions from the trust
				  to the extent that such distributions are subject to income taxation under the
				  provisions of the Internal Revenue Code.
New Mexico Administrative Code › Title 3 - TAXATION › Chapter 3 - PERSONAL INCOME TAXES › Part 4 - EXEMPTIONS › Section 3.3.4.1 - ISSUING AGENCY

Current through Register Vol. 35, No. 13, July 16, 2024
Taxation and Revenue Department, Joseph M. Montoya Building,
				  1100 South St. Francis Drive, P.O. Box 630, Santa Fe NM
				  87504-0630.
New Mexico Administrative Code › Title 3 - TAXATION › Chapter 3 - PERSONAL INCOME TAXES › Part 4 - EXEMPTIONS › Section 3.3.4.2 - SCOPE

Current through Register Vol. 35, No. 13, July 16, 2024
This part applies to each resident of New Mexico and to each
				  nonresident employed or engaged in the transaction of business in, into or from
				  New Mexico or deriving any income from any property or employment in New
				  Mexico.
New Mexico Administrative Code › Title 3 - TAXATION › Chapter 3 - PERSONAL INCOME TAXES › Part 4 - EXEMPTIONS › Section 3.3.4.5 - EFFECTIVE DATE

Current through Register Vol. 35, No. 13, July 16, 2024
1/15/97, unless a later date is cited at the end of a
				  section, in which case the later date is the effective date.
New Mexico Administrative Code › Title 3 - TAXATION › Chapter 3 - PERSONAL INCOME TAXES › Part 4 - EXEMPTIONS › Section 3.3.4.8 - INCOME OF A MEMBER OF A NATO FORCE

Current through Register Vol. 35, No. 13, July 16, 2024
A. For purposes of this section (3.3.4.8
				NMAC):
(1) "NATO signatory" means a nation,
				other than the United States, that is a contracting party to the North Atlantic
				Treaty;
(2) "NATO force" means any
				NATO signatory's military unit or force or civilian component thereof present
				in New Mexico in accordance with the North Atlantic Treaty; and
(3) "Member of a NATO force" means the
				military and civilian personnel of the NATO force and their
				dependents.
New Mexico Administrative Code › Title 3 - TAXATION › Chapter 3 - PERSONAL INCOME TAXES › Part 4 - EXEMPTIONS › Section 3.3.4.9 - APPORTIONMENT OF SECTION 7-2-5.2 NMSA 1978 EXEMPTION

Current through Register Vol. 35, No. 13, July 16, 2024
A. Any individual who is blind or sixty-five
				years of age or older, who has income both within and without this state and
				who claims the exemption provided by Section
				7-2-5.2
				NMSA 1978 shall apportion the exemption amount claimed in accordance with this
				section (3.3.4.9 NMAC).
B. For
				taxable years beginning in 1987, 1988 or 1989, apportionment shall be
				accomplished by reducing the individual's deduction for non-New Mexico income
				by an amount equal to the product of the maximum allowable amount for the
				individual's filing status and adjusted gross income multiplied by the
				percentage of non-New Mexico income computed on the individual's New Mexico
				income tax return or any schedules or attachments thereto.
(1) Example 1: X is a single individual over
				sixty-five years of age whose total adjusted gross income is $19,000. Thirty
				percent of X's adjusted gross income is non-New Mexico income. X must reduce
				X's non-New Mexico income by $2,100, computed as follows:
Maximum allowable amount for a single
individual with $19,000 AGI
$ 7,000
30% x $7,000
x .30
Adjustment to non-New Mexico Income
$ 2,100
(2)
				Example 2: A and B are married and file a joint return. A is over 65. B is 62
				and blind. 10% of their $25,000 adjusted gross income is from outside New
				Mexico. A & B must reduce their non-New Mexico income by an amount of 1,600
				computed as follows:
Maximum allowable amount per individual for
							 a
married couple filing jointly with $25,000
							 AGI
$ 8,000
Multiply by 2 since both individuals
							 qualify
x 2
$16,000
10% x $16,000
x .10
Adjustment to non-New Mexico Income
$ 1,600
New Mexico Administrative Code › Title 3 - TAXATION › Chapter 3 - PERSONAL INCOME TAXES › Part 4 - EXEMPTIONS › Section 3.3.4.10 - SECTION 7-2-5.4 NMSA 1978: EXEMPTION APPORTIONMENT

Current through Register Vol. 35, No. 13, July 16, 2024
A. Any individual who has adopted a special
				needs child on or after January 1, 1988, who has income both within and without
				this state and who claims the exemption provided by Section
				7-2-5.4 NMSA 1978 shall
				apportion the exemption amount claimed in accordance with this section
				(3.3.4.10 NMAC).
B. For taxable
				years beginning in 1988 or 1989, apportionment shall be accomplished by
				reducing the deduction for non-New Mexico income by an amount equal to the
				product of the exemption amount multiplied by the percentage of non-New Mexico
				income computed on the individual's New Mexico income tax return or any
				schedules or attachments thereto.
C. Example: A & B are married and file a
				joint return for 1988 and for 1989. 25% of their income is from outside New
				Mexico in 1988 but only 20% in 1989. In March, 1988, they adopted a special
				needs child. In July, 1989, they adopt a second special needs child. For the
				1988 tax year, they must reduce the amount of their allocation and
				apportionment of non-New Mexico income by $625, and for the 1989 tax year
				$1,000, computed as follows:
Example:
1988
1989
Statutory maximum per child
$2,500
$2,500
Number of children adopted
x 1
x 2
$2,500
$5,000
% of non-New Mexico income for 1988
x .25
% of non-New Mexico income for 1989
x .20
Adjustment to non-New Mexico income
$ 625
$1,000
D.
				For taxable years beginning on or after January 1, 1990, apportionment is
				accomplished in the process of determining tax due and the amount of the credit
				available pursuant to Subsection C of Section
				7-2-11
				NMSA 1978. Accordingly, no separate process is necessary to apportion the
				exemption provided by Section
				7-2-5.4 NMSA
				1978.
E. This version of this
				section (3.3.4.10 NMAC) is retroactively applicable to taxable years beginning
				on or after January 1, 1990.
New Mexico Administrative Code › Title 3 - TAXATION › Chapter 3 - PERSONAL INCOME TAXES › Part 4 - EXEMPTIONS › Section 3.3.4.11 - MEDICAL CARE SAVINGS ACCOUNT AMOUNTS

Current through Register Vol. 35, No. 13, July 16, 2024
Any amount exempt from taxation under the Income Tax Act by
				  the provisions of the Medical Care Savings Account Act that is excluded,
				  exempted or deducted in determining federal taxable income may not be deducted
				  from base income in determining net income. With respect to such an amount, the
				  exemption under Section
				  7-2-5.6
				  NMSA 1978 is provided through the process of determining federal taxable
				  income.
New Mexico Administrative Code › Title 3 - TAXATION › Chapter 3 - PERSONAL INCOME TAXES › Part 4 - EXEMPTIONS › Section 3.3.4.12 - PENSION INCOME OF TRIBAL MEMBERS AND SPOUSES WHO ARE TRIBAL MEMBERS

Current through Register Vol. 35, No. 13, July 16, 2024
A. For the purposes
				of Section
				7-2-5.5
				NMSA 1978, pension income of a New Mexico resident who is a member of an Indian
				nation, tribe or pueblo and who resides on the tribal territory of the
				resident's or the spouse's Indian nation, tribe or pueblo is qualified for the
				exemption provided by Section
				7-2-5.5
				NMSA 1978 to the extent the pension derives from the resident's employment
				within the boundaries of the resident's or the spouse's Indian nation, tribe or
				pueblo during marriage to that spouse.
B. A pension received from the United States
				armed forces qualifies for the exemption provided by Section
				7-2-5.5
				NMSA 1978 to the extent the pension derives from service of the resident while
				stationed on the tribal territory of the resident's or, during the marriage,
				the spouse's Indian nation, tribe or pueblo or while the resident's home of
				record was on the tribal territory of the resident's or, during the marriage,
				the spouse's Indian nation, tribe or pueblo.
C. Except for wages and pensions described in
				Subsections A and B of this section, income received by a member of an Indian
				nation, tribe or pueblo while the member resides in New Mexico on the tribal
				territory of the member's or the spouse's Indian nation, tribe or pueblo
				generally is net income subject to New Mexico income tax and generally is not
				exempt under Section
				7-2-5.5
				NMSA 1978. To the extent, however, the income derives from property or
				activities on the tribal territory of the member's or, during the marriage, the
				spouse's Indian nation, tribe or pueblo, the income may be excluded from net
				income only to the extent state taxation is prohibited by federal law. For
				example, rents from property owned by the member on the tribal territory of the
				member's Indian nation, tribe or pueblo are excluded from net income but rents
				from property not on tribal territory are not. If a negligible portion of the
				income derives from property or activities on the tribal territory of the
				member's or spouse's Indian nation, tribe or pueblo, the entire amount is net
				income.
D. For the purposes of this
				regulation, "spouse" means an individual who is a member of an Indian nation,
				tribe or pueblo and is married to the resident or member of an Indian nation,
				tribe or pueblo.
New Mexico Administrative Code › Title 3 - TAXATION › Chapter 3 - PERSONAL INCOME TAXES › Part 5 - OIL AND GAS PROCEEDS WITHHOLDING › Section 3.3.5.1 - ISSUING AGENCY

Current through Register Vol. 35, No. 13, July 16, 2024
Taxation and Revenue Department, Joseph M. Montoya Building,
				  1100 South St. Francis Drive, P.O. Box 630, Santa Fe NM
				  87504-0630
New Mexico Administrative Code › Title 3 - TAXATION › Chapter 3 - PERSONAL INCOME TAXES › Part 5 - OIL AND GAS PROCEEDS WITHHOLDING › Section 3.3.5.2 - SCOPE

Current through Register Vol. 35, No. 13, July 16, 2024
This part applies to all remitters of oil and gas proceeds
				  from New Mexico wells and to pass-through entities.