2019 New Mexico Statutes
Chapter 7 - Taxation
Article 9 - Gross Receipts and Compensating Tax
Section 7-9-65 - Deduction; gross receipts tax; chemicals and reagents.

Receipts from selling chemicals or reagents to any mining, milling or oil company for use in processing ores or oil in a mill, smelter or refinery or in acidizing oil wells, and receipts from selling chemicals or reagents in lots in excess of eighteen tons to any hard-rock mining or milling company for use in any combination of extracting, leaching, milling, smelting, refining or processing ore at a mine site, may be deducted from gross receipts. Receipts from selling explosives, blasting powder or dynamite may not be deducted from gross receipts.

History: 1953 Comp., § 72-16A-14.21, enacted by Laws 1969, ch. 144, § 56; 2019, ch. 172, § 1.

The 2019 amendment, effective July 1, 2019, revised the criteria for a gross receipts tax deduction on certain receipts from selling chemicals or reagents; and after "eighteen tons", added "to any hard-rock mining or milling company for use in any combination of extracting, leaching, milling, smelting, refining or processing ore at a mine site".

Words used in this section are not ambiguous, and the issue of legislative intent does not arise. Runco Acidizing & Fracturing Co. v. Bureau of Revenue, 1974-NMCA-145, 87 N.M. 146, 530 P.2d 410.

Aggregation of deliveries not authorized. — Since no single delivery or single day's delivery of chemicals or reagents to a well ever amounted to 18 tons or more, although the amount specified in a purchase order might aggregate that much, taxpayer was not entitled to a deduction under this section, since the wording of taxpayer's purchase orders and contract, supported inference that a purchase order was not a transfer for consideration and therefore not a sale. Runco Acidizing & Fracturing Co. v. Bureau of Revenue, 1974-NMCA-145, 87 N.M. 146, 530 P.2d 410.