0001|                           SENATE BILL 185
    |
0002|     43rd legislature - STATE OF NEW MEXICO - first session, 1997
    |
0003|                            INTRODUCED BY
    |
0004|                         TIMOTHY Z. JENNINGS
    |
0005|     
    |
0006|                                   
    |
0007|     
    |
0008|        FOR THE REVENUE STABILIZATION AND TAX POLICY COMMITTEE
    |
0009|     
    |
0010|                                AN ACT
    |
0011|     RELATING TO TAXATION; PROVIDING FOR REPEAL OF OPTIONAL INCOME
    |
0012|     TAX REFUND CONTRIBUTION PROVISIONS IF A DESIGNATION GENERATES
    |
0013|     LESS THAN A MINIMUM AMOUNT OF MONEY FOR THE DESIGNATED PURPOSE.
    |
0014|     
    |
0015|     BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF NEW MEXICO:
    |
0016|          Section 1.  A new section of the Income Tax Act, Section
    |
0017|     7-2-32 NMSA 1978, is enacted to read:
    |
0018|          "7-2-32.  [<u>NEW MATERIAL</u>]  GENERAL PROVISIONS REGARDING
    |
0019|     OPTIONAL DESIGNATION OF TAX REFUND CONTRIBUTIONS--CONDITIONAL
    |
0020|     REPEAL OF CERTAIN OPTIONAL DESIGNATIONS.--
    |
0021|               A.  Any provision of the Income Tax Act that allows
    |
0022|     a taxpayer to direct the department to contribute all or any
    |
0023|     part of an income tax refund due the taxpayer to a specified
    |
0024|     account, fund or entity is repealed together with any other
    |
0025|     provision setting forth the legislature's findings or intent
    |
0001|     with respect to the provision when, the opportunity to
    |
0002|     contribute pursuant to the provision having been available on
    |
0003|     the income tax forms for two or more consecutive taxable years,
    |
0004|     the secretary certifies that taxpayers directed that less than
    |
0005|     fifty thousand dollars ($50,000), exclusive of directions
    |
0006|     disregarded under Subsection B of this section, be contributed
    |
0007|     pursuant to the provision on returns filed for taxable years
    |
0008|     beginning in the preceding calendar year.  By August 31, 1997
    |
0009|     and by August 31 of every succeeding year, the secretary shall
    |
0010|     determine the amount contributed through the preceding July 31
    |
0011|     on returns filed for taxable years beginning in the preceding
    |
0012|     calendar year under each provision allowing the taxpayers the
    |
0013|     option of directing the department to make contributions of
    |
0014|     refunds.  If less than fifty thousand dollars ($50,000) is
    |
0015|     designated for a provision, exclusive of directions disregarded
    |
0016|     pursuant to Subsection B of this section, the secretary shall
    |
0017|     certify that fact to the secretary of state.  Any provision so
    |
0018|     certified and any related provisions setting forth legislative
    |
0019|     findings or intent are repealed, effective on the January 1
    |
0020|     following the certification.
    |
0021|               B.  The department shall disregard any direction to
    |
0022|     make contributions on any return if the amount of refund due is
    |
0023|     determined by the department to be less than the sum of the
    |
0024|     amounts directed to be contributed.
    |
0025|               C.  Notwithstanding the provisions of Section 7-1-26
    |
0001|     NMSA 1978, a taxpayer shall not claim and the department shall
    |
0002|     not allow a refund with respect to any contribution made by the
    |
0003|     department at the direction of the taxpayer pursuant to any
    |
0004|     provision of the Income Tax Act providing for optional
    |
0005|     designation of all or any part of the income tax refund due a
    |
0006|     taxpayer."
    |
0007|          Section 2.  CONTINGENT REPEAL.--
    |
0008|               A.  Sections 7-2-23 and 7-2-24 NMSA 1978 (being Laws
    |
0009|     1981, Chapter 343, Sections 1 and 2, as amended) are repealed
    |
0010|     effective on the January 1 following certification by the
    |
0011|     secretary of taxation and revenue to the secretary of state
    |
0012|     pursuant to Section 7-2-32 NMSA 1978.
    |
0013|               B.  Section 7-2-24.1 NMSA 1978 (being Laws 1992,
    |
0014|     Chapter 108, Section 4) is repealed effective on the January 1
    |
0015|     following certification by the secretary of taxation and
    |
0016|     revenue to the secretary of state pursuant to Section 7-2-32
    |
0017|     NMSA 1978.
    |
0018|               C.  Sections 7-2-27 and 7-2-28 NMSA 1978 (being Laws
    |
0019|     1987, Chapter 257, Sections 2 and 3) and Laws 1987, Chapter
    |
0020|     257, Section 6 are repealed effective on the January 1
    |
0021|     following certification by the secretary of taxation and
    |
0022|     revenue to the secretary of state pursuant to Section 7-2-32
    |
0023|     NMSA 1978.
    |
0024|               D.  Sections 7-2-29 and 7-2-30 NMSA 1978 (being Laws
    |
0025|     1987, Chapter 265, Sections 1 and 2) are repealed effective on
    |
0001|     the January 1 following certification by the secretary of
    |
0002|     taxation and revenue to the secretary of state pursuant to
    |
0003|     Section 7-2-32 NMSA 1978.
    |
0004|               E.  Section 7-2-31 NMSA 1978 (being Laws 1992,
    |
0005|     Chapter 108, Section 1) is repealed effective on the January 1
    |
0006|     following certification by the secretary of taxation and
    |
0007|     revenue to the secretary of state pursuant to Section 7-2-32
    |
0008|     NMSA 1978 of this act.
    |
0009|                              
    |