HOUSE BILL 344
52nd legislature - STATE OF NEW MEXICO - first session, 2015
INTRODUCED BY
Larry R. Scott
AN ACT
RELATING TO TAXATION; REVISING THE DUE DATE FOR CORPORATE INCOME AND FRANCHISE TAX FILING AND PAYMENT FOR ELECTRONIC SUBMISSIONS; REVISING THE DUE DATE FOR PASS-THROUGH ENTITY INFORMATION-RETURN FILING FOR ELECTRONIC SUBMISSIONS.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF NEW MEXICO:
SECTION 1. Section 7-2A-9 NMSA 1978 (being Laws 1981, Chapter 37, Section 42, as amended) is amended to read:
"7-2A-9. TAXPAYER RETURNS--PAYMENT OF TAX.--
A. Every corporation deriving income from any business transaction, property or employment within this state, [and] that is not exempt from tax under the Corporate Income and Franchise Tax Act [which] and that is required by the laws of the United States to file a federal income tax return shall file a complete tax return with the department in form and content as prescribed by the secretary. [Corporations shall file such returns with the department on or before the fifteenth day of the third month following the end of each taxable year. The corporate income tax imposed on corporations under Subsection A of Section 7-2A-3 NMSA 1978 is due and payment is required on or before the fifteenth day of the third month following the end of the taxable year.] Except as provided in Subsection C of this section, a corporation that is required by the provisions of the Corporate Income and Franchise Tax Act to file a return or pay a tax shall, on or before the fifteenth day of the third month following the end of each taxable year, file the return and pay the tax levied for that year.
B. Every domestic or foreign corporation that is not exempt from tax under the Corporate Income and Franchise Tax Act, that is employed or engaged in the transaction of business in, into or from this state or [deriving] that derives any income from property or employment within this state and every domestic or foreign corporation, regardless of whether it is engaged in active business, [or not, but having or exercising] that has or exercises its corporate franchise in this state and that is not exempt from tax under the Corporate Income and Franchise Tax Act [is required to] shall file a return in the form and content as prescribed by the secretary and pay the tax levied pursuant to Subsection B of Section 7-2A-3 NMSA 1978 in the amount for each corporation as specified in Section 7-2A-5.1 NMSA 1978. Returns and payment of tax for corporate franchise tax for a taxable year shall be filed and paid on the date specified in Subsection A or C of this section for payment of corporate income tax for the preceding taxable year.
C. A corporation that is required by the provisions of the Corporate Income and Franchise Tax Act to file a return or pay a tax and that is approved by the department to use electronic media for filing and paying taxes shall, if using electronic media for filing and paying taxes, file the return and pay the tax levied for that taxable year on or before the thirtieth day of the third month following the end of that year."
SECTION 2. Section 7-3A-7 NMSA 1978 (being Laws 2003, Chapter 86, Section 10, as amended) is amended to read:
"7-3A-7. STATEMENTS OF WITHHOLDING.--
A. Every remitter shall:
(1) file an annual statement of withholding for each remittee that:
(a) is in electronic format and includes a form 1099-Misc or a successor form or on a pro forma 1099-Misc or a successor form for those entities that do not receive an internal revenue service form 1099-Misc;
(b) is filed with the department on or before the last day of February of the year following that for which the statement is made; and
(c) includes the total oil and gas proceeds paid to the remittee and the total amount of tax withheld for the calendar year; and
(2) provide a copy of the annual statement of withholding to the remittee on or before February 15 of the year following the year for which the statement is made.
B. The department shall develop and adopt rules regarding the filing of a report pursuant to this section and the attachment of form 1099-Misc or a successor form or a pro forma 1099-Misc or a successor form, if the remitter is not able to file those forms in an electronic format.
C. Every remitter shall file an electronic report of the remittees who have certified that the remittee is responsible for filing the remittee's own oil and gas proceeds tax report and for paying the remittee's oil and gas proceeds tax liability due.
D. Every pass-through entity doing business in New Mexico shall:
(1) file an annual information return with the department that:
(a) is filed on or before: 1) the due date of the entity's federal return for the taxable year; or 2) if the entity's taxable year is a calendar year, if the entity is approved by the department to use electronic media for filing and if the entity uses electronic media to file the annual information return, the end of the month in which the entity's federal return is due;
(b) is signed by the business manager or one of the owners of the pass-through entity; and
(c) contains all information required by the department, including the pass-through entity's gross income; the pass-through entity's net income; the amount of each owner's allocable share of the pass-through entity's net income; and the name, address and tax identification number of each owner entitled to an allocable share of net income; and
(2) provide to each of its owners sufficient information to enable the owner to comply with the provisions of the Income Tax Act and the Corporate Income and Franchise Tax Act with respect to the owner's allocable share of net income.
E. The department shall compile each year the annual statements of withholding received from the remitters and the annual information returns received from pass-through entities and compare the compilations with the records of corporations, individuals, estates or trusts filing income tax returns."
SECTION 3. APPLICABILITY.--The provisions of this act apply to taxable years beginning on or after January 1, 2015.