N.M. Stat. Ann. § 7-9-57
History: 1953 Comp., § 72-16A-14.12, enacted by Laws 1969, ch. 144, § 47; 1973, ch. 132, § 1; 1977, ch. 86, § 1; 1983, ch. 220, § 12; 1988, ch. 118, § 1; 1989, ch. 262, § 6; 1998, ch. 89, § 4; 2000, ch. 84, § 7.
Repeals. — Laws 1993, ch. 31, § 13A, effective July 1, 1993, repealed Laws 1989, ch. 262, § 7, which provided for the repeal and reenactment of 7-9-57 NMSA 1978, effective July 1, 1993.
The 2000 amendment, effective July 1, 2000, substituted "an out-of-state buyer" for "a buyer" in Subsection A.
The 1998 amendment, effective July 1, 1998, substituted "for export" for "to an out-of-state buyer" in the section heading; rewrote Subsection A; deleted former Subsections B and C; and redesignated Subsection D as Subsection B.
The 1989 amendment, effective July 1, 1989, in Subsection C substituted all of the present language of the introductory paragraph following "buyer of the service" for ", any of his employees or any person in privity with him", and deleted former Paragraph (3) which read: "concurrent with the performance of the service, has a regular place of work in New Mexico or spends more than brief and occasional periods of time in New Mexico and: (a) has any communication in New Mexico related in any way to the subject matter, performance or administration of the service with the person performing the service; or (b) himself performs work in New Mexico related to the subject matter of the service".
Initial use. — The flying of an airplane to a customer's out-of-state location for inspection and acceptance of airplane painting service does not constitute initial use in New Mexico. N.M. Taxation & Revenue Dep't v. Dean Baldwin Painting, Inc., 2007-NMCA-153, 143 N.M. 189, 174 P.3d 525.
Services not deductible. — Taxpayer, whose services performed for a buyer involved deconstruction of ammunition, ordnance, and other energetic material, was not entitled to a deduction on the basis that the services did not result in a product. TPL, Inc. v. N.M. Taxation & Revenue Dep't, 2000-NMCA-083, 129 N.M. 539, 10 P.3d 863, rev'd, 2003-NMSC-007, 133 N.M. 447, 64 P.3d 474.
Services deductible. — When the corporation contracted with an out-of-state provider for the corporation to destroy munitions, it was entitled to the gross receipts deduction, and the hearing officer could not properly determine that use or delivery took place within the state without some affirmative evidence in the record to support that conclusion. TPL, Inc. v. N.M. Taxation & Revenue Dep't, 2003-NMSC-007, 133 N.M. 447, 64 P.3d 474, rev'g, 2000-NMCA-083, 129 N.M. 539, 10 P.3d 863.
"Initial use" following repair. — Mechanic was not entitled to a deduction with respect to repairs made on a truck brought into New Mexico for such repairs and then driven back to Texas for use exclusively as a delivery truck within that state, because the return of the truck to Texas constituted an "initial use" after repair in New Mexico. Reed v. Jones, 1970-NMCA-050, 81 N.M. 481, 468 P.2d 882.