New Mexico § 60-2E-47 - Gaming tax; imposition; administration

§ 60-2E-47. Gaming tax; imposition; administration

A. An excise tax is imposed on the privilege of engaging in gaming activities in the

state. This tax shall be known as the “gaming tax”. B. The gaming tax is an amount equal to ten percent of the gross receipts of manufacturer

licensees from the sale, lease or other transfer of gaming devices in or into the

state, except receipts of a manufacturer from the sale, lease or other transfer to

a licensed distributor for subsequent sale or lease may be excluded from gross receipts;

ten percent of the gross receipts of distributor licensees from the sale, lease or

other transfer of gaming devices in or into the state; ten percent of the net take

of a gaming operator licensee that is a nonprofit organization; and twenty-four and

eight-tenths percent of the net take of every other gaming operator licensee. For the purposes of this section, “ gross receipts ” means the total amount of money or the value of other consideration received from

selling, leasing or otherwise transferring gaming devices. C. The gaming tax imposed on a licensee is in lieu of all state and local gross receipts

taxes on that portion of the licensee's gross receipts attributable to gaming activities. D. The gaming tax is to be paid on or before the fifteenth day of the month following

the month in which the taxable event occurs. The gaming tax shall be administered and collected by the taxation and revenue department

in cooperation with the board. The provisions of the Tax Administration Act apply to the collection and administration

of the tax. E. In addition to the gaming tax, a gaming operator licensee that is a racetrack shall

pay: (1) twenty percent of its net take solely to purses in accordance with rules adopted

by the state racing commission; and (2) one and two-tenths percent of its net take solely to offset the costs of jockey

and exercise rider insurance and to comply with federal and state laws affecting horse

racing. F. An amount not to exceed twenty percent of the interest earned on the balance of

any fund consisting of money for purses distributed by racetrack gaming operator licensees

pursuant to this subsection may be expended for the costs of administering the distributions. The state racing commission is responsible for regulatory oversight of funds withdrawn

for exercise rider and jockey insurance and compliance with federal and state laws

affecting horse racing. The state racing commission is also responsible for regulatory oversight of the

twenty percent and one and two-tenths percent fees funding from gaming. A racetrack gaming operator licensee shall spend no less than one-fourth percent

of the net take of its gaming machines to fund or support programs for the treatment

and assistance of compulsive gamblers. G. A nonprofit gaming operator licensee shall distribute at least twenty percent of

the balance of its net take, after payment of the gaming tax, any income taxes and

allowable gaming expenses, for charitable or educational purposes.