New Mexico – Gross Receipts and Compensating Tax Updates

SALT Report 1735 – Due to recent legislative changes the New Mexico Taxation and Revenue Department has updated their gross receipts and compensating tax publication. The publication provides details for the following newly enacted or amended tax deductions and exemptions:

  • Receipts from the sale construction-related services to persons engaged in the construction business may be deducted if the services are directly contracted for, or billed to, a specific construction project and a Type 6 NTTC is used – Effective January 1, 2013,
  • Receipts from leasing construction equipment to persons engaged in the construction business may be deducted if the leased equipment is only used at the construction location of a construction project that is subject to gross receipts tax or that is located on the tribal territory of an Indian nation, tribe or pueblo – Effective January 1, 2013,
  • Receipts from the transmission of electricity where voltage source conversion technology is employed to provide such services and from providing ancillary services – Special reporting is required for this deduction see instructions for completing the CRS-1 Form in the CRS-1 Filer’s Kit 
  • Receipts from operating a market or exchange for the sale or trading of electricity, rights to electricity and derivative products and from providing ancillary services – Special reporting is required for this deduction see instructions for completing the CRS-1 Form in the CRS-1 Filer’s Kit
  • Receipts from the sale of tangible personal property that is consumed in the manufacturing process of a product – Effective January 1, 2013, and
  • Receipts from selling fuel to a common carrier to be loaded or used in a locomotive engine – Effective until July 1, 2013

The publication also addresses the new filing requirements for taxpayers who owe $1,000 or more and $25,000 or more in gross receipts tax, as well as amended returns and new credit card payment options.

For Further Information:

New Mexico Taxation and Revenue Department – FYI-105