0001| SENATE BILL 410
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0002| 42ND LEGISLATURE - STATE OF NEW MEXICO - SECOND SESSION,
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0003| 1996
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0004| INTRODUCED BY
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0005| ROMAN M. MAES
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0006|
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0007|
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0008|
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0009|
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0010|
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0011| AN ACT
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0012| RELATING TO TAXATION; PROVIDING DEDUCTIONS FROM GROSS RECEIPTS
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0013| FOR CONSTRUCTION SERVICES AND MATERIALS, MANUFACTURING EQUIPMENT
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0014| AND INSTALLATION SERVICES.
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0015|
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0016| BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF NEW MEXICO:
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0017| Section 1. A new section of the Gross Receipts and
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0018| Compensating Tax Act is enacted to read:
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0019| "[NEW MATERIAL] DEDUCTION--GROSS RECEIPTS TAX--MANUFACTURING OPERATIONS--CONSTRUCTION AND INSTALLATION
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0020| SERVICES--NEW EQUIPMENT SALES--DEFINITIONS.--
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0021| A. Receipts from the sale of construction services
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0022| may be deducted from gross receipts if:
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0023| (1) the service provided is to construct or
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0024| expand facilities for a manufacturing operation; and
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0025| (2) the construction service is sold to a
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0001| person who delivers a nontaxable transaction certificate to the
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0002| person performing the construction service.
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0003| B. Receipts from the sale of construction materials
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0004| purchased for use to expand an existing or construct a new
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0005| manufacturing operation located in New Mexico may be deducted
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0006| from gross receipts if the materials are purchased for a person
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0007| who delivers a nontaxable transaction certificate to the person
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0008| selling the materials.
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0009| C. Receipts from the sale of equipment purchased for
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0010| use in a new or expanded manufacturing operation located in New
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0011| Mexico may be deducted from gross receipts if the equipment is
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0012| purchased for a person who delivers a nontaxable transaction
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0013| certificate to the person selling the equipment.
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0014| D. Receipts from the sale of installation services
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0015| necessary to install equipment in a new or expanded
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0016| manufacturing operation located in New Mexico may be deducted
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0017| from gross receipts if the installation service is sold to a
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0018| person who delivers a nontaxable transaction certificate to the
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0019| person performing the installation services.
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0020| E. As used in this section:
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0021| (1) "construction service" means a service
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0022| necessary to construct or expand a manufacturing operation;
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0023| (2) "installation service" means a service
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0024| required to install and make operational equipment necessary to
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0025| conduct a manufacturing operation; and
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0001| (3) "manufacturing operation" means a plant,
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0002| including a genetic testing and production facility, employing
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0003| personnel to perform production or assembly tasks to produce
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0004| goods.
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0005| F. Election by a taxpayer to deliver the nontaxable
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0006| transaction certificate necessary to support a deduction from
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0007| gross receipts pursuant to the provisions of this section shall
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0008| preclude availability to that taxpayer of the investment tax
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0009| credit that would be available on the same equipment pursuant to
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0010| the provisions of Chapter 7, Article 9A NMSA 1978."
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0011| Section 2. EFFECTIVE DATE.--The effective date of the
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0012| provisions of this act is July 1, 1996.
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0013|
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0014|
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0015|
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0016|
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0017|
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0018| FORTY-SECOND LEGISLATURE
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0019| SECOND SESSION, 1996
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0020|
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0021|
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0022| FEBRUARY 4, 1996
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0023|
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0024| Mr. President:
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0025|
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0001| Your COMMITTEES' COMMITTEE, to whom has been referred
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0002|
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0003| SENATE BILL 410
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0004|
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0005| has had it under consideration and finds same to be GERMANE, PURSUANT
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0006| TO CONSTITUTIONAL PROVISIONS, and thence referred to the WAYS AND
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0007| MEANS COMMITTEE.
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0008|
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0009| Respectfully submitted,
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0010|
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0011|
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0012|
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0013|
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0014| __________________________________
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0015| SENATOR MANNY M. ARAGON, Chairman
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0016|
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0017|
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0018|
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0019| Adopted_______________________ Not Adopted_______________________
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0020| (Chief Clerk) (Chief Clerk)
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0021|
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0022|
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0023| Date ________________________
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0024|
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0025|
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0001|
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0002| S0410CC1
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0003|
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0004| FORTY-SECOND LEGISLATURE SB 410/a
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0005| SECOND SESSION, 1996
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0006|
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0007| February 7, 1996
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0008|
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0009| Mr. President:
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0010|
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0011| Your WAYS AND MEANS COMMITTEE, to whom has been referred
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0012|
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0013| SENATE BILL 410
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0014|
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0015| has had it under consideration and reports same with recommendation that
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0016| it DO PASS, amended as follows:
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0017|
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0018| 1. On page 1, line 13, before the period insert "; DECLARING AN
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0019| EMERGENCY".
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0020|
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0021| 2. On page 3, line 1, strike the comma, and on line 2, strike
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0022| "including a genetic testing and production facility,".
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0023|
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0024| 3. On page 3, strike lines 11 and 12, and insert in lieu thereof
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0025| the following section:
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0001|
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0002| "Section 2. EMERGENCY.--It is necessary for the public peace,
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0003| health and safety that this act take effect immediately.".,
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0004|
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0005| and thence referred to the FINANCE COMMITTEE.
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0006|
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0007| Respectfully submitted,
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0008|
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0009|
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0010|
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0011| __________________________________
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0012| TITO D. CHAVEZ, Chairman
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0013|
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0014|
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0015|
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0016| Adopted_______________________ Not Adopted_______________________
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0017| (Chief Clerk) (Chief Clerk)
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0018|
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0019|
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0020| Date ________________________
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0021|
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0022|
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0023| The roll call vote was 5 For 0 Against
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0024| Yes: 5
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0025| No: 0
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0001| Excused: Campos, Jennings, Riley
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0002| Absent: None
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0003|
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0004|
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0005|
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0006|
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0007|
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0008| S0410WM1 .111901.1
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0009|
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0010| FORTY-SECOND LEGISLATURE
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0011| SECOND SESSION, 1996
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0012|
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0013|
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0014| February 9, 1996
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0015|
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0016| Mr. President:
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0017|
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0018| Your FINANCE COMMITTEE, to whom has been referred
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0019|
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0020| SENATE BILL 410, as amended
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0021|
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0022| has had it under consideration and reports same with recommendation that
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0023| it DO PASS.
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0024|
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0025| Respectfully submitted,
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0001|
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0002|
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0003|
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0004| __________________________________
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0005| Ben D. Altamirano, Chairman
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0006|
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0007|
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0008|
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0009| Adopted_______________________ Not Adopted_______________________
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0010| (Chief Clerk) (Chief Clerk)
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0011|
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0012|
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0013|
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0014| Date ________________________
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0015|
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0016|
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0017| The roll call vote was 8 For 0 Against
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0018| Yes: 8
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0019| No: 0
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0020| Excused: Donisthorpe, Duran, Ingle, Kidd, Kysar
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0021| Absent: None
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0022|
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0023|
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0024| S0410FC1
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0025|
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