The forms needed to complete the process have just been released and you cannot become eligible for the reduction without submitting the attached forms. Sadly, it doesn’t look like any tax relief will be retroactive.
PNM’s email referenced: “taxes paid before PNM receives the authorized NTTC will be lost forever.” So, getting this into PNM and then on to Tax and Revenue quickly is your best option.
Below are parts of emails from correspondence between a New Mexico MEP Board member with PNM to outline the GRT change. This is all the info we currently have but your PNM rep and/or CPA should be able to answer any questions.
The legislature passed legislation last January to gradually remove the GRT charged on electricity, gas and water used up in the manufacturing process. There is a 20% reduction starting January 1, 2013, 40% in 2014 and so on until it is completely removed.
The importance of applying early is any tax paid to PNM before we get a NTTC (non taxable certificate) will be lost forever. There will not be much if any publicity about this reduction.
The NM Tax and Revenue Department has provided the attached final forms for the utilities-related manufacturing consumables deduction from Gross Receipts Tax.
A link to these forms and additional information will be posted at:
What follows is a brief summary of the process.
After filling out the forms, you can initially mail them to:
PNM Tax Dept Manufacturers Deduction
Albuquerque, NM 87158-1025
- PNM will confirm the account information and send the forms back. Then, the forms should be mailed to NMTRD (details can be found at the website above).
- NMTRD would be the one to decide if they will issue you a Type 12 NTTC. You can mail the NTTC back to PNM at the address listed above.
- You will then be responsible to pay the NMTRD the appropriate taxes after PNM stops the tax collection.