SENATE JUDICIARY COMMITTEE SUBSTITUTE FOR

SENATE BILL 681

52nd legislature - STATE OF NEW MEXICO - first session, 2015

AN ACT

RELATING TO THE PUBLIC PEACE, HEALTH, SAFETY AND WELFARE; AUTHORIZING THE TAXATION AND REVENUE DEPARTMENT TO CONDUCT A TEMPORARY TAX AMNESTY PROGRAM; MAKING AN APPROPRIATION.

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

     SECTION 1. [NEW MATERIAL] TEMPORARY TAX AMNESTY PROGRAM--APPROPRIATION.--

          A. Five hundred thousand dollars ($500,000) is appropriated from the general fund to the taxation and revenue department for expenditure in fiscal year 2016 for the purpose of conducting a tax amnesty program as provided in Subsection B of this section. Any unexpended or unencumbered balance remaining at the end of fiscal year 2016 shall revert to the general fund.

          B. For the taxes owed and taxes administered pursuant to the Tax Administration Act, the secretary of taxation and revenue, with the concurrence of the governor, is authorized to declare an amnesty period of no more than ninety days for assessed interest or penalties; provided that any amnesty period shall occur within fiscal year 2016 and the terms of the amnesty program conform with the provisions of Section 7-1-11.1 NMSA 1978. All revenue collected as a result of the tax amnesty shall be identified specifically and reported to the first session of the fifty-third legislature.

          C. The secretary of taxation and revenue is authorized to waive, during the amnesty period only, the

consideration of the relevant factors listed in Subsection D of Section 7-1-11.1 NMSA 1978. The taxpayer shall meet the other requirements for a managed audit set forth in Section 7-1-11.1 NMSA 1978 and shall not be assessed taxes for which the managed audit is requested; provided that the department has not issued a notice of commencement of an audit to the taxpayer before the taxpayer requests a managed audit pursuant to this section. No interest or penalty shall be imposed on taxes due as the result of a managed audit entered into during the amnesty period if the requirements of Paragraph (4) of Subsection A of Section 7-1-67 NMSA 1978 and Paragraph (2) of Subsection G of Section 7-1-69 NMSA 1978 are met.

     SECTION 2. DELAYED REPEAL.--Section 1 of this act is repealed effective July 1, 2016.