A. Imposition of Tax: There is imposed on any person engaging in business in this municipality for the privilege of engaging in business in this municipality and excise equal to three-eights of one percent (.375%) of the gross receipts reported or required to be reported by the person pursuant to the New Mexico gross Receipts and Compensating Tax Act 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 as it now exists or as it may be amended and shall be known as the “municipal hold harmless gross receipts tax.”
B. General Provisions: This Section hereby adopts by reference all definitions, exemptions and deductions contained in the Gross Receipts and Compensating Tax Act as it now exists or as it may be amended.
C. No municipal hold harmless 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 one (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 NMSA § 7-1-6.4(C); or
3. Direct broadcast satellite services.
D. Dedication: Revenue from the municipal hold harmless gross receipts tax will be used for any specific purpose or area of municipal government services, including but not limited to police protection, public transportation or street repair and maintenance. (Ord. 2014-07, 11-18-2014; amd. Ord. 2015-01, 2-3-2015)