HOUSE BILL 1012
48th legislature - STATE OF NEW MEXICO - first session, 2007
INTRODUCED BY
Roberto "Bobby" J. Gonzales
AN ACT
RELATING TO TAXATION; PROVIDING FOR A DEDUCTION FROM THE GASOLINE TAX FOR GASOLINE USED TO PROPEL A SCHOOL BUS; PROVIDING FOR A REFUND OF GASOLINE TAX PAID ON GASOLINE USED TO PROPEL A SCHOOL BUS; PROVIDING FOR AN EXEMPTION FROM THE GROSS RECEIPTS AND COMPENSATING TAX FOR RECEIPTS FROM THE SALE OF FUEL USED TO PROPEL A SCHOOL BUS.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF NEW MEXICO:
Section 1. Section 7-9-26 NMSA 1978 (being Laws 1969, Chapter 144, Section 19, as amended) is amended to read:
"7-9-26. EXEMPTION--GROSS RECEIPTS AND COMPENSATING TAX--FUEL.--Exempted from the gross receipts and compensating tax are the receipts from selling and the use of gasoline, special fuel or alternative fuel:
A. on which the tax imposed by Section 7-13-3, [7-16-3 or] 7-16A-3 or 7-16B-4 NMSA 1978 [or the Alternative Fuel Tax Act] has been paid and not refunded; or
B. that is used to propel a vehicle authorized by contract with the public education department or with a public school district as a school bus."
Section 2. Section 7-13-4 NMSA 1978 (being Laws 1991, Chapter 9, Section 32, as amended) is amended to read:
"7-13-4. DEDUCTIONS--GASOLINE TAX.--In computing the gasoline tax due, the following amounts of gasoline may be deducted from the total amount of gasoline received in New Mexico during the tax period, provided satisfactory proof thereof is furnished to the department:
A. gasoline received in New Mexico, but exported from this state by a rack operator, distributor or wholesaler other than in the fuel supply tank of a motor vehicle or sold for export by a rack operator or distributor; provided that, in either case:
(1) the person exporting the gasoline is registered in or licensed by the destination state to pay that state's gasoline or equivalent fuel tax;
(2) proof is submitted that the destination state's gasoline or equivalent fuel tax has been paid or is not due with respect to the gasoline; or
(3) the destination state's gasoline or equivalent fuel tax is paid to New Mexico in accordance with the terms of an agreement entered into pursuant to Section 9-11-12 NMSA 1978 with the destination state;
B. gasoline received in New Mexico sold to the United States or [any] an agency or instrumentality thereof for the exclusive use of the United States or [any] an agency or instrumentality thereof. Gasoline sold to the United States includes gasoline delivered into the supply tank of a government-licensed vehicle of the United States;
C. gasoline received in New Mexico sold to an Indian nation, tribe or pueblo or [any] a political subdivision, agency or instrumentality of that Indian nation, tribe or pueblo for the exclusive use of the Indian nation, tribe or pueblo or [any] a political subdivision, agency or instrumentality thereof. Gasoline sold to an Indian nation, tribe or pueblo includes gasoline delivered into the supply tank of a government-licensed vehicle of the Indian nation, tribe or pueblo;
D. gasoline received in New Mexico, dyed in accordance with department regulations and used in [any] a manner other than for propulsion of motor vehicles on the highways of this state or motorboats or activities ancillary to that propulsion;
E. gasoline received in New Mexico and sold at retail by a registered Indian tribal distributor if:
(1) the sale occurs on the Indian reservation, pueblo grant or trust land of the distributor's Indian nation, tribe or pueblo;
(2) the gasoline is placed into the fuel supply tank of a motor vehicle on that reservation, pueblo grant or trust land; and
(3) the Indian nation, tribe or pueblo has certified to the department that it has in effect an excise, privilege or similar tax on the gasoline; provided that the volume of gasoline deducted pursuant to this subsection shall be the total gallons sold in accordance with the provisions of this subsection multiplied by a fraction the numerator of which is the rate of the tribal tax certified to the department by the Indian nation, tribe or pueblo and the denominator of which is the rate of the gasoline tax imposed pursuant to the Gasoline Tax Act, but if the fraction exceeds one, it shall be one for purposes of determining the deduction; [and]
F. gasoline received in New Mexico and sold by a registered Indian tribal distributor from a nonmobile storage container located within that distributor's Indian reservation, pueblo grant or trust land for resale outside that distributor's Indian reservation, pueblo grant or trust land; provided the department certifies that the distributor claiming the deduction sold no less than one million gallons of gasoline from a nonmobile storage container located within that distributor's Indian reservation, pueblo grant or trust land for resale outside that distributor's Indian reservation, pueblo grant or trust land during the period of May through August 1998; and provided further that the amount of gasoline deducted by a registered Indian tribal distributor pursuant to this subsection shall not exceed two million five hundred thousand gallons per month, calculated as a monthly average during the calendar year. Volumes deducted pursuant to Subsection E of this section shall not be deducted pursuant to this subsection; and
G. gasoline received in New Mexico and used to propel a vehicle authorized by contract with the public education department or with a school district as a school bus."
Section 3. A new section of the Gasoline Tax Act is enacted to read:
"[NEW MATERIAL] CLAIM FOR REFUND OF GASOLINE TAX PAID ON GASOLINE FOR A PUBLIC SCHOOL BUS.--
A. Upon submission of proof satisfactory to the department, a user of gasoline may claim, and the department may allow, a refund of tax paid on gasoline used to propel a vehicle authorized by contract with the public education department or with a school district as a school bus. B. A person shall not submit a claim for refund pursuant to the provisions of this section more frequently than quarterly. A claim for refund may not be submitted or allowed on less than one hundred gallons.
C. The department may prescribe the documents necessary to support a claim for refund pursuant to the provisions of this section. The department may prescribe the use of types of monitoring and measuring equipment.
D. This section applies to gasoline purchased on or after July 1, 2007."
Section 4. EFFECTIVE DATE.--The effective date of the provisions of this act is July 1, 2007.
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