Deduction; gross receipts tax and governmental gross

receipts tax; prescription drugs; oxygen; cannabis. A. Receipts from the sale of prescription drugs and oxygen and oxygen services provided by a licensed medicare durable medical equipment provider and cannabis products that are sold in accordance with the Lynn and Erin Compassionate Use Act [Chapter 26, Article 2B NMSA 1978] and psilocybin products and medical care that are sold in accordance with the Medical Psilocybin Act [26-2D-1 to 26-2D-11 NMSA 1978] may be deducted from gross receipts and governmental gross receipts. B. A taxpayer allowed a deduction pursuant to this section shall report the amount of the deduction separately in a manner required by the department. The deduction shall be included in the tax expenditure budget pursuant to Section 7-1-84 NMSA 1978, including the annual aggregate cost of the deduction. C. For the purposes of this section, "prescription drugs" means insulin and substances that are: (1) dispensed by or under the supervision of a licensed pharmacist or by a physician or other person authorized under state law to do so; (2) prescribed for a specified person by a person authorized under state law to prescribe the substance; and (3) subject to the restrictions on sale contained in Subparagraph 1 of Subsection (b) of 21 USCA 353. History: Laws 1998, ch. 95, § 2; Laws 1998, ch. 99, § 4; 2003, ch. 272, § 7; 2007, ch. 361, § 3; 2021 (1st S.S.), ch. 4, § 53; 2025, ch. 73, § 12; 2025, ch. 130, § 73.