HOUSE BILL 257

56th legislature - STATE OF NEW MEXICO - second session, 2024

INTRODUCED BY

Jenifer Jones and Luis M. Terrazas

 

 

 

 

 

AN ACT

RELATING TO TAXATION; EXPANDING A GROSS RECEIPTS TAX DEDUCTION FOR THE SALE OF FOOD TO INCLUDE CONVENIENCE STORES LOCATED AT LEAST THIRTY-FIVE MILES FROM THE NEAREST RETAIL FOOD STORE.

 

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

     SECTION 1. Section 7-9-92 NMSA 1978 (being Laws 2004, Chapter 116, Section 5, as amended) is amended to read:

     "7-9-92. DEDUCTION--GROSS RECEIPTS--SALE OF FOOD AT RETAIL FOOD STORE OR CERTAIN CONVENIENCE STORES.--

          A. Receipts from the sale of food by a retail food store or a convenience store located at least thirty-five miles from the nearest retail food store that are not exempt from gross receipts taxation and are not deductible pursuant to another provision of the Gross Receipts and Compensating Tax Act may be deducted from gross receipts. The [deduction] deductions provided by this section shall be separately stated by the taxpayer.

          B. For the purposes of this section:

                (1) "convenience store" means an establishment that sells food for home preparation and consumption, meets the definition of retail food store in 7 USCA 2012(o)(1)(A) and has at least twenty percent of the establishment's total sales in staple foods for purposes of the federal supplemental nutrition assistance program, whether or not the establishment participates in the supplemental nutrition assistance program;

                [(1)] (2) "food" means any food or food product for home consumption that meets the definition of food in 7 USCA 2012(k)(1) for purposes of the federal supplemental nutrition assistance program; and

                [(2)] (3) "retail food store" means an establishment that sells food for home preparation and consumption and that meets the definition of retail food store in 7 USCA 2012(o)(1) for purposes of the federal supplemental nutrition assistance program, whether or not the establishment participates in the supplemental nutrition assistance program."

     SECTION 2. EFFECTIVE DATE.--The effective date of the provisions of this act is July 1, 2024.

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