HOUSE BILL 17

46th legislature - STATE OF NEW MEXICO - second session, 2004

INTRODUCED BY

Ted Hobbs

AN ACT

RELATING TO TAXATION; PERMITTING A PHASED-IN DEDUCTION FROM GROSS RECEIPTS FOR CERTAIN SERVICES PROVIDED BY LICENSED HEALTH CARE PRACTITIONERS.

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--CERTAIN MANAGED HEALTH CARE RECEIPTS FROM SERVICES PROVIDED BY LICENSED HEALTH CARE PRACTITIONERS.--

          A. The following percentage of receipts of licensed health care practitioners from payments by managed health care providers for medicare part C services or commercial contract services may be deducted from gross receipts:

                (1) from July 1, 2004 through June 30, 2005, one-third of those receipts;

                (2) from July 1, 2005 through June 30, 2006, two-thirds of those receipts; and

                (3) after June 30, 2006, all of those receipts.

          B. As used in this section:

                (1) "commercial contract services" means health care services performed pursuant to a contract with a managed health care provider other than those health care services provided for medicare patients pursuant to Title 18 of the federal Social Security Act or for medicaid patients pursuant to Title 19 or Title 21 of the federal Social Security Act;

                (2) "licensed health care practitioner" means:

                     (a) a chiropractic physician licensed pursuant to the provisions of the Chiropractic Physician Practice Act;

                     (b) a dentist or dental hygienist licensed pursuant to the provisions of the Dental Health Care Act;

                     (c) a physician or physician assistant licensed pursuant to the provisions of the Medical Practice Act;

                     (d) an osteopathic physician licensed pursuant to the provisions of Chapter 61, Article 10 NMSA 1978 or an osteopathic physician's assistant licensed pursuant to the provisions of the Osteopathic Physicians' Assistants Act;

                     (e) a doctor of oriental medicine licensed pursuant to the provisions of the Acupuncture and Oriental Medicine Practice Act;

                     (f) a podiatrist licensed pursuant to the provisions of the Podiatry Act;

                     (g) a psychologist licensed pursuant to the provisions of the Professional Psychologist Act;

                     (h) a registered nurse or licensed practical nurse licensed pursuant to the provisions of the Nursing Practice Act;

                     (i) a registered lay midwife registered by the department of health;

                     (j) a physical therapist licensed pursuant to the provisions of the Physical Therapy Act;

                     (k) an optometrist licensed pursuant to the provisions of the Optometry Act;

                     (l) a registered occupational therapist registered pursuant to the provisions of the Occupational Therapy Act;

                     (m) a respiratory care practitioner licensed pursuant to the provisions of the Respiratory Care Act;

                     (n) a clinical laboratory accredited pursuant to 42 USCA 263; and

                     (o) a speech-language pathologist or audiologist licensed pursuant to the Speech-Language Pathology, Audiology and Hearing Aid Dispensing Practices Act;

                (3) "managed health care provider" means a person licensed by the insurance division of the public regulation commission that provides for the delivery of comprehensive basic health care services and medically necessary services to individuals enrolled in a plan through its own employed health care providers or by contracting with selected or participating health care providers; and

                (4) "medicare part C services" means services performed pursuant to a contract with a managed health care provider for medicare patients pursuant to Title 18 of the federal Social Security Act."

     Section 2. EFFECTIVE DATE.-- The effective date of the provisions of this act is July 1, 2004.

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