SENATE BILL 704

47th legislature - STATE OF NEW MEXICO - second session, 2006

INTRODUCED BY

James G. Taylor

AN ACT

RELATING TO TAXATION; PROVIDING A LIMITED DEDUCTION FROM GROSS RECEIPTS OF THE RECEIPTS FROM SELLING FUNERAL SERVICES AND FUNERAL MERCHANDISE.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF NEW MEXICO:

     Section 1. A new section of the Gross Receipts and Compensating Tax Act is enacted to read:

     "[NEW MATERIAL] DEDUCTION--GROSS RECEIPTS--SALE OF FUNERAL SERVICES AND FUNERAL MERCHANDISE.--

          A. Receipts from selling funeral services and funeral merchandise may be deducted from gross receipts, provided that the deduction allowed a seller under this section shall not exceed ten thousand dollars ($10,000) during any thirty-day period attributable to purchases by a single buyer.

          B. As used in this section:

                (1) "funeral merchandise" means that personal property offered for sale in connection with the transportation, funeralization or disposition of a dead human body, including the enclosure into which a dead human body is or cremains are directly placed; and

                (2) "funeral services" means those post-death activities related to the dead human body, its care and disposition, including:

                     (a) committal, graveside or memorial services;

                     (b) embalming;

                     (c) cremation;

                     (d) advising or counseling about specific details for a funeral, graveside service, committal service, memorial service, disposition or direct disposition; and

                     (e) final disposition."

     Section 2. EFFECTIVE DATE.--The effective date of the provisions of this act is July 1, 2006.

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