SB 11 — GROSS RECEIPTS FOR NONPROFIT ORGANIZATIONS

SENATE BILL 11 TH LEGISLATURE - STATEOFNEWMEXICO- FIRST SESSION, 2019 INTRODUCED BY Carlos R.

Cisneros and Richard C.

Martinez and Christine Chandler and Andrea Romero Pursuant to House Rule 24-1, this document incorporates amendments that have been adopted prior to consideration of this measure by the House.

It is a tool to show the amendments in context and is not to be used for the purpose of amendments.

h5 g o BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF NEW MEXICO:

t hr g e i k SECTION 1.

Section 7-9-29 NMSA 1978 (being Laws 1970, h r i s Chapter 12, Section 3, as amended) is amended to read:

h , t, "7-9-29.

EXEMPTION--GROSS RECEIPTS TAX--CERTAIN eORGANIZATIONS--EXCEPTIONS.-- u g e b l e e h ORGANIZATIONS--EXCEPTIONS .-- n d d i = = o h A.

Exempted from the gross receipts tax are the l ] b ,d i a º e receipts of organizations that demonstrate to the department rthat ithey =have rbeen tgranted eexemption wfrom dthe mfederal aincome ntax oby thatthe theyUnited haveStates beencommissioner grantedof exemptioninternal fromrevenue as organizations described in Section 501(c)(3) of the federalUnited incomeStates dInternal mRevenue :Code of 1986, as that section may be amended or renumbered.

b e d s º o t n = .211024.1 s k m e e a n e d r e l u [ A d tax by the United States commissioner of internal revenue as organizations described in Section 501(c)(3) of the United States Internal Revenue Code of [1954 ] 1986, as that section may be amended or renumbered.

Exempted from the gross receipts tax are the receipts from carrying on chamber of commerce, visitor bureau and convention bureau functions of organizations that demonstrate to the department that they have been granted exemption from the federal income tax by the United States commissioner of internal revenue as organizations described in Section 501(c)(6) of the United States Internal Revenue Code of [1954 ] 1986, as that section may be amended or renumbered.

SB 11 Page 1 (1) receipts derived from an unrelated trade or business as defined in Section 513 of the United States Internal Revenue Code of [1954 ] 1986, as that section may be h amended or renumbered;

Hflºor»Hfl g o t hr (2) receipts of a prime contractor that are g e i k derived from operating a facility in New Mexico designated as a h r i s national laboratory by an act of congresscongress; Hflº." ;

or h , t, (3) receipts of a prime contractor that are e u g e b l e e h derived from operating a research facility in New Mexico that n d d i = = o h is owned by the state.»Hflstate." l ] b ,d i a º e SECTION 2.

EFFECTIVE DATE.--The effective date of the r i = r t e w d m a n o provisions of this act is July 1, 2019.

dSB m11 :Page 2 25

b e d s º o t n = .211024.1 s k m e - 2 - e a n e d r e l u [ A d