SB 538: CORPORATE TAX & MANUFACTURING

An Act Relating To Taxation; Lowering The Corporate Income Tax Rate; Providing A Definition Of "manufacturing" And "consumable" For Purposes Of The Deduction Of Receipts From Sales To Manufacturers; Requiring Exports Of Manufactured Products; Clarifying Application Of The High-wage Jobs Tax Credit; Defining "benefits" And "wages"; Extending The Credit For Five Years; Declaring An Emergency.

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MILD SB 538
CORPORATE TAX & MANUFACTURING

Legislative URL:

SB 538 on nmlegis.gov

Emergency Clause:

Yes

Germane:

N/A

Location:

- OTHER -

Action:

[14] SCORC/SFC-SCORC [24] w/o rec-SFC [44] DNP-CS/DP API. (CS/S 538, 540 & CS/S 13 & 277)

Issue(s):

General Interest

Related Legislators

Bill Sponsor:

John Arthur Smith

Related Documents

Downloads:

Introduced
SCORC Committee Report
SFC Committee Report
SFC Committee Substitute
Fiscal Impact Report

Summary

This piece of legislation lowers the corporate income tax rate and makes changes to the gross receipts tax deduction for sales to manufacturers of tangible products, among other things.

The bill amends the section of law that allows a gross receipts tax deduction for the sale of tangible personal property that are consumed in the manufacturing process, to require that the tangible personal property is “consumable.” It defines “consumable” as including electricity and fuels. The bill also adds a definition of “manufacturing” that specifically excludes power generation and the “processing of natural resources, including hydrocarbons.”

This bill may help to ensure that the law is clear on regarding this tax deduction.

Date of Summary:  2/19/2013