(A) Imposition of tax. There is imposed on any person engaging in business in the municipality for the privilege of engaging in business in the municipality, an excise tax equal to 1/8% of the gross receipts reported or required to be reported by the person pursuant to the New Mexico Gross Receipts and Compensating Tax Act being NMSA §§ 7-9-1 et seq., as it now exists or as it may be amended. The tax imposed under this section is pursuant to the Municipal Local Option Gross Receipts Taxes Act being NMSA §§ 7-9-1 to 7-9-113, as it now exists or as it may be amended and shall be known as the “municipal infrastructure gross receipts tax”.
(B) General provisions. This section hereby adopts by reference all definitions, exemption and deductions contained in the Gross Receipts and Compensating Tax Act, as it now exists or as it may be amended.
(C) Specific exemptions. No municipal infrastructure gross receipts tax shall be imposed on the gross receipts arising from:
(1) Transporting persons or property for hire by railroad, motor vehicle, air transportation or any other means from 1 point within the municipality to another point outside the municipality;
(2) A business located outside the boundaries of a municipality on land owned by that municipality for which a state gross receipts tax distribution is made pursuant to subsection (C) of NMSA § 7-1-6.4; or
(3) Direct broadcast satellite services.
(D) Dedication. Revenue from the municipal infrastructure gross receipts used for the purpose(s) listed below:
(1) Various types of infrastructure improvements; and
(2) Municipal general purposes.
(E) Effective date. The effective date of this section shall be either January 1 or July 1, whichever date occurs first after the expiration of at least 3 months from the date this section is adopted, unless an election is held on the question of approving this section , in which case the effective date shall be either July 1 or January 1, whichever date occurs first after the expiration of 3 months from the date when the results of the election are certified to be in favor of the ordinance’s adoption.
(Ord. 574, passed 9-26-1991; Am. Ord. 576, passed 1-16-1992; Am. Ord. 621, passed 12-11-2001)