New Mexico Administrative Code

A. Receipts which are deductible under the Gross Receipts and Compensating Tax Act can be deducted only if documentation justifying the deduction is maintained so it can be verified upon audit. B. The following examples illustrate the documentation requirements. (1) Example 1: X …

A. Any person applying to execute nontaxable transaction certificates (nttcs) related to deductions found under Sections 7-9-51, 7-9-52 or 7-9-52.1 NMSA 1978 must indicate the applicant's New Mexico contractor's license number or furnish proof that no contractor's license is requ…

A. Except as provided otherwise in Subsection D of Section 3.2.201.12 NMAC, a taxpayer who receives a properly executed nontaxable transaction certificate (nttc) or other documentation required by Section 7-9-43 NMSA 1978 for a transaction included in a previously filed return an…

A. The department deems the uniform sales and use tax certificate issued by the multistate tax commission or by any member state other than New Mexico to a taxpayer not required to be registered in New Mexico to be a nontaxable transaction certificate (nttc) equivalent to those n…

A. Acceptance of nontaxable transaction certificates (nttcs) in good faith that the property or service sold thereunder will be employed by the purchaser in a nontaxable manner is determined at the time of each transaction. The taxpayer claiming the protection of a certificate co…

A. Except as provided otherwise in Section 3.2.201.15 NMAC, no person may make photocopies of, or otherwise reproduce, nontaxable transaction certificates (nttcs) issued or executed by the department. Photocopies or other reproductions may be made: (1) by the department or, upon …

As used in Section 7-9-43 NMSA 1978 and in regulations concerning nontaxable transaction certificates (nttcs), the verb "issue" indicates the process by which the department supplies a requesting taxpayer with one or more nttc forms, which in turn are to be completed by that taxp…

A. Any person engaging in business in New Mexico who, within the time required by the provisions of Section 7-9-43 NMSA 1978, accepts a nontaxable transaction certificate denominated as an nttc-osb in good faith that the purchaser will, in the ordinary course of business, either …

A. For transactions specified below, the department deems a border states uniform sale for resale certificate issued by a border state other than New Mexico to a taxpayer not required to be registered in New Mexico to be a nontaxable transaction certificate (nttc) equivalent to t…

This part applies to each person engaging in business in New Mexico.

Section 9-11-6.2 NMSA 1978.

Permanent.

3/15/96, unless a later date is cited at the end of a section, in which case the later date is the effective date.

The objective of this part is to interpret, exemplify, implement and enforce the provisions of the Gross Receipts and Compensating Tax Act.

[Reserved.]

A. With respect to receipts and transactions deductible under the Gross Receipts and Compensating Tax Act: (1) The taxpayer should be in possession of all nontaxable transaction certificates (nttcs) at the time the deductible transaction occurs. (2) The taxpayer must be in posses…

Except as provided in Section 3.2.201.17 NMAC, registration and identification of buyers or lessees who, by reason of their status or the nature of use of the property or service purchased or leased by them, would entitle the vendor or lessor to a deduction from gross receipts wi…

(Reserved.)

(Reserved.)

(Reserved.)

(Reserved.)

(Reserved.)

(Reserved.)

(Reserved.)

(Reserved.)

Taxation and Revenue Department, Joseph M. Montoya Building, 1100 South St. Francis Drive, P.O. Box 630, Santa Fe NM 87504-0630

The deductions provided by Sections 7-9-46 through 7-9-78.1 and 7-9-83 through 7-9-90 NMSA 1978 apply only to those receipts which are included in and defined as gross receipts pursuant to Section 7-9-3 NMSA 1978.

Under Section 7-9-3.5 NMSA 1978, marketplace sellers may have gross receipts from selling, leasing or licensing property or selling services in the state and marketplace providers may have receipts from receipts collected from selling, leasing, licensing property or selling servi…

This part applies to each person engaging in business in New Mexico.

Section 9-11-6.2 NMSA 1978.

Permanent.

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.

The objective of this part is to interpret, exemplify, implement and enforce the provisions of the Gross Receipts and Compensating Tax Act.

[Reserved.]

A. The receipts from a single transaction may be deducted only once, even when two or more sections of the Gross Receipts and Compensating Tax Act allow a deduction for the receipts from that transaction. B. Example: X appliance company sells electric ranges, refrigerators and di…

Persons engaging in business, except those persons all of whose receipts are exempted by the provisions of Sections 7-9-13 through 7-9-42 NMSA 1978 or other law, must register and report their gross receipts to the department even if such receipts are deductible under one or more…

Taxation and Revenue Department, Joseph M. Montoya Building, 1100 South St. Francis Drive, P.O. Box 630, Santa Fe NM 87504-0630

Transportation expenses incurred in marketing a manufactured product are not deductible pursuant to Section 7-9-46 NMSA 1978.

Gold, teeth and similar items used in making dentures for sale in the ordinary course of business are ingredients or component parts of a manufactured product.

A. Sensitized paper, backing paper, frames, mounts, glass and other items used by a photographer, photographic processor or developer in the production of a photograph for sale in the ordinary course of business are ingredients or component parts of a manufactured product. B. Fil…

Upholsterers are engaged in the business of performing a service and are not manufacturers. If an upholsterer separately states on the billings to customers the value of the material used in conjunction with the services, the upholsterer may issue a Type 2 nontaxable transaction …

Materials such as blank diskettes, blank video disks, packaging, paper and labels which are used by a person who manufactures and sells in the ordinary course of business copies of computer software, together with explanatory materials and instructions, are ingredient and compone…

A. Receipts from developing custom software for a manufacturer of packaged software are not deductible under Section 7-9-46 NMSA 1978 because the deduction under Section 7-9-46 NMSA 1978 is available only for receipts from selling tangible personal property which is incorporated …

The receipts of a person who is not subject to the Resources Excise Tax Act and who sells unprocessed metal ores to a processor in this state are deductible under Section 7-9-46 NMSA 1978 provided the person is in possession of a properly executed nontaxable transaction certifica…

Persons who engage in the business of car washing, car waxing or car detailing are not thereby in the business of manufacturing. The deduction provided by Section 7-9-46 NMSA 1978 does not apply to receipts from car washing, car waxing or car detailing.

A. Tools and equipment used by a person engaged in the manufacturing business to manufacture a product are not considered to be consumed in the manufacturing process and therefore are not deductible under Subsection B of Section 7-9-46 NMSA 1978. As used in Section 7-9-46 NMSA 19…

This part applies to all persons engaging in business in New Mexico.

Section 9-11-6.2 NMSA 1978.