0001|                            HOUSE BILL 141
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0002|     43rd legislature - STATE OF NEW MEXICO - first session, 1997
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0003|                            INTRODUCED BY
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0004|                              BEN LUJAN
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0005|     
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0006|                                   
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0007|     
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0008|        FOR THE REVENUE STABILIZATION AND TAX POLICY COMMITTEE
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0009|     
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0010|                                AN ACT
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0011|     RELATING TO TAXATION; AUTHORIZING THE SECRETARY OF TAXATION AND
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0012|     REVENUE TO ENTER INTO CERTAIN COOPERATIVE AGREEMENTS WITH SANTA
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0013|     CLARA PUEBLO; PROVIDING A GROSS RECEIPTS TAX CREDIT; ENACTING
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0014|     SECTIONS OF THE NMSA 1978.
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0015|     
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0016|     BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF NEW MEXICO:
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0017|          Section 1.  A new section of the Taxation and Revenue
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0018|     Department Act, Section 9-11-12.1 NMSA 1978, is enacted to
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0019|     read:
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0020|          "9-11-12.1.  [<u>NEW MATERIAL</u>]  COOPERATIVE AGREEMENTS WITH
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0021|     SANTA CLARA PUEBLO.--
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0022|               A.  The secretary may enter into cooperative
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0023|     agreements with Santa Clara pueblo for the exchange of
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0024|     information and the reciprocal, joint or common enforcement,
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0025|     administration, collection, remittance and audit of gross
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0001|     receipts tax revenues of the party jurisdictions.
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0002|               B.  Money collected by the department on behalf of
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0003|     Santa Clara pueblo in accordance with an agreement entered into
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0004|     pursuant to this section is not money of this state and shall
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0005|     be collected and disbursed in accordance with the terms of the
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0006|     agreement, notwithstanding any other provision of law.
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0007|               C.  The secretary is empowered to promulgate such
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0008|     rules and regulations and to establish such procedures as the
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0009|     secretary deems appropriate for the collection and disbursement
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0010|     of funds due Santa Clara pueblo and for the receipt of money
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0011|     collected by the pueblo for the account of this state under the
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0012|     terms of a cooperative agreement entered into under the
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0013|     authority of this section, including procedures for
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0014|     identification of taxpayers or transactions that are subject
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0015|     only to the taxing authority of the pueblo, taxpayers or
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0016|     transactions that are subject only to the taxing authority of
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0017|     this state, and taxpayers or transactions that are subject to
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0018|     the taxing authority of both party jurisdictions.
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0019|               D.  Nothing in an agreement entered into pursuant to
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0020|     this section shall be construed as authorizing this state or
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0021|     Santa Clara pueblo to tax persons or transactions that federal
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0022|     law prohibits that government from taxing, or as authorizing a
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0023|     state or pueblo court to assert jurisdiction over persons who
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0024|     are not otherwise subject to that court's jurisdiction or as
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0025|     affecting any issue of the respective civil or criminal
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0001|     jurisdictions of this state or the pueblo.  Nothing in an
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0002|     agreement entered into pursuant to this section shall be
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0003|     construed as an assertion or an admission by either this state
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0004|     or the pueblo that the taxes of one have precedence over the
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0005|     taxes of the other when the person or transaction is subject to
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0006|     the taxing authority of both governments.  An agreement entered
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0007|     into pursuant to this section shall be construed solely as an
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0008|     agreement between the two party governments and shall not alter
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0009|     or affect the government-to-government relations between this
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0010|     state and any other Indian nation, tribe or pueblo."
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0011|          Section 2.  A new section of the Gross Receipts and
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0012|     Compensating Tax Act is enacted to read:
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0013|          "[<u>NEW MATERIAL</u>]  CREDIT--GROSS RECEIPTS TAX--TAX PAID TO
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0014|     SANTA CLARA PUEBLO.--
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0015|               A.  If on a taxable transaction taking place on land
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0016|     owned by or for the benefit of Santa Clara pueblo and located
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0017|     within the exterior boundaries of Santa Clara pueblo a
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0018|     qualifying gross receipts, sales or similar tax has been levied
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0019|     by the pueblo, the amount of the pueblo tax may be credited
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0020|     against any gross receipts tax due this state or its political
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0021|     subdivisions under the Gross Receipts and Compensating Tax Act
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0022|     and any local option gross receipts tax on the same
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0023|     transaction.  The amount of the credit shall be equal to the
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0024|     lesser of seventy-five percent of the tax imposed by the pueblo
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0025|     on the receipts from the transaction or seventy-five percent of
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0001|     the tax revenue produced by the sum of the rate of tax imposed
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0002|     pursuant to the Gross Receipts and Compensating Tax Act and the
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0003|     total of the rates of local option gross receipts taxes imposed
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0004|     on the receipts from the same transaction.  Notwithstanding any
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0005|     other provision of law to the contrary, the amount of credit
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0006|     taken and allowed shall be applied proportionately against the
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0007|     amount of the gross receipts tax and local option gross
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0008|     receipts taxes and against the amount of distributions of those
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0009|     taxes pursuant to  Section 7-1-6.1 NMSA 1978.  
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0010|               B.  A qualifying gross receipts, sales or similar
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0011|     tax levied by Santa Clara pueblo shall be limited to a tax
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0012|     that:
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0013|                    (1)  is substantially similar to the gross
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0014|     receipts tax imposed by the Gross Receipts and Compensating Tax
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0015|     Act;
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0016|                    (2)  does not unlawfully discriminate among
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0017|     persons or transactions based on membership in the pueblo;
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0018|                    (3)  is levied on the taxable transaction at a
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0019|     rate not greater than the total of the gross receipts tax rate
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0020|     and local option gross receipts tax rates imposed by this state
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0021|     and its political subdivisions located within the exterior
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0022|     boundaries of Santa Clara pueblo;
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0023|                    (4)  provides a credit against the pueblo tax
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0024|     equal to the lesser of twenty-five percent of the tax imposed
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0025|     by the pueblo on the receipts from the transaction or twenty-
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0001|     five percent of the tax revenue produced by the sum of the rate
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0002|     of tax imposed under the Gross Receipts and Compensating Tax
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0003|     Act and the total of the rates of the local option gross
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0004|     receipts taxes imposed on the receipts from the same
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0005|     transaction; and
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0006|                    (5)  is subject to a cooperative agreement
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0007|     between the pueblo and the secretary entered into pursuant to
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0008|     Section 9-11-12.1 NMSA 1978 and in effect at the time of the
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0009|     taxable transaction."
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0010|                                                         State of New Mexico
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0011|                      House of Representatives
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0012|   
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0013|                      FORTY-THIRD LEGISLATURE
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0014|                        FIRST SESSION, 1997
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0015|   
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0016|   
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0017|                                                  March 10, 1997
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0018|   
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0019|   
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0020|   Mr. Speaker:
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0021|   
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0022|        Your TAXATION AND REVENUE COMMITTEE, to whom has
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0023|   been referred
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0024|   
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0025|                        HOUSE BILL 141
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0001|   
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0002|   has had it under consideration and reports same with
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0003|   recommendation that it DO PASS, amended as follows:
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0004|   
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0005|        1.  On page 3, line 9, strike the closing quotation mark and
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0006|   between lines 9 and 10, insert the following new subsection:
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0007|   
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0008|             "E.  Nothing in an agreement entered into pursuant to
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0009|   this section shall apply to a taxable transaction subject to the
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0010|   taxing authority of a municipality pursuant to a local option
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0011|   gross receipts tax act."".
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0012|   
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0013|        2.  On page 3, line 21, before the period insert:
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0014|   
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0015|   ", provided that no credit shall be allowed against any gross
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0016|   receipts tax due on a transaction subject to the taxing authority
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0017|   of a municipality pursuant to a local option gross receipts tax
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0018|   act".,
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0019|   
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0020|   and thence referred to the JUDICIARY COMMITTEE.
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0021|   
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0022|                                 Respectfully submitted,
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0023|   
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0024|   
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0025|   
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0001|                                 <u>                                
</u>    |
<u></u>0002| <u>  
</u>    |
<u></u>0003| <u>                                </u>                             Jerry W. Sandel, Chairman
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0004|   
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0005|   
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0006|   Adopted <u>                    </u>     Not Adopted <u>                    
</u>    |
<u></u>0007| <u>   </u>
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0008|             (Chief Clerk)                       (Chief Clerk)
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0009|   
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0010|                        Date <u>            </u>
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0011|   
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0012|   The roll call vote was<u> 12 </u> For<u> 0 </u> Against
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0013|   Yes:      12
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0014|             Excused:  Porter
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0015|             Absent:   None
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0016|   
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0017|   
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0018|   .118130.1
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0019|   G:\BILLTEXT\BILLW_97\H0141                     FORTY-THIRD LEGISLATURE
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0020|                           FIRST SESSION
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0021|   
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0022|                                                       March 14, 1997
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0023|   
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0024|   
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0025|   HOUSE FLOOR AMENDMENT number ___1___ to HOUSE BILL 141
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0001|   
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0002|   Amendment sponsored by Representative Ben Lujan
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0003|   
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0004|   
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0005|     1.  Strike House Taxation and Revenue Committee amendments.
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0006|   
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0007|     2.  On page 3, line 9, strike the closing quotation mark and
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0008|   between lines 9 and 10, insert the following new subsection:
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0009|   
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0010|         "E.  Nothing in an agreement entered into pursuant to this
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0011|   section shall apply to a taxable transaction subject to the taxing
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0012|   authority of a municipality pursuant to a local option gross receipts
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0013|   tax act or distribution to a municipality from gross receipts taxes
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0014|   pursuant to Section 7-1-6.4 NMSA 1978, except that such agreement shall
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0015|   apply to such taxable transactions, and related distributions, reported
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0016|   from business locations on Santa Clara pueblo land annexed by a
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0017|   municipality after January 1, 1997."".
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0018|   
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0019|     3.  On page 3, line 21, before the period insert:
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0020|   
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0021|   "; provided that no credit shall be allowed against any gross receipts
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0022|   tax due on a transaction subject to the taxing authority of a
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0023|   municipality pursuant to a local option gross receipts tax act or
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0024|   distribution to a municipality from gross receipts taxes pursuant to
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0025|   Section 7-1-6.4 NMSA 1978, except that credit shall be allowed for such
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0001|   taxable transactions, and related distributions, reported from business
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0002|   locations on Santa Clara pueblo land annexed by the municipality after
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0003|   January 1, 1997.". 
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0004|   
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0005|   
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0006|                                         ___________________________
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0007|                                         Ben Lujan
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0008|   
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0009|   Adopted ___________________   Not Adopted ___________________________
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0010|            (Chief Clerk)                       (Chief Clerk)
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0011|   
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0012|   
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0013|                   Date ________________
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