New Mexico § 7-1-6.16 - County equalization distribution

§ 7-1-6.16. County equalization distribution

A. Beginning on September 15, 1989 and on September 15 of each year thereafter, the

department shall distribute to any county that has imposed or continued in effect

during the state's preceding fiscal year a county gross receipts tax pursuant to Section 7-20E-9 NMSA 1978 an amount equal to: (1) the product of a fraction, the numerator of which is the county's population and

the denominator of which is the state's population, multiplied by the annual sum for

the county; less (2) the net receipts received by the department during the report year, including

any increase or decrease made pursuant to Section 7-1-6.15 NMSA 1978 , attributable to the county gross receipts tax at a rate of one-eighth percent;

provided that for any month in the report year, if no county gross receipts tax was

in effect in the county in the previous month, the net receipts, for the purposes

of this section, for that county for that month shall be zero. B. If the amount determined by the calculation in Subsection A of this section is

zero or a negative number for a county, no distribution shall be made to that county. C. As used in this section: (1) “ annual sum ” means for each county the sum of the monthly amounts for those months in the report

year that follow a month in which the county had in effect a county gross receipts

tax; (2) “ monthly amount ” means an amount equal to the product of: (a) the net receipts received by the department in the month attributable to the state

gross receipts tax plus five percent of the total amount of deductions claimed pursuant

to Section 7-9-92 NMSA 1978 for the month plus five percent of the total amount of deductions claimed pursuant

to Section 7-9-93 NMSA 1978 for the month; and (b) a fraction, the numerator of which is one-eighth percent and the denominator of

which is the tax rate imposed by Section 7-9-4 NMSA 1978 in effect on the last day of the previous month; (3) “ population ” means the most recent official census or estimate determined by the United States

census bureau for the unit or, if neither is available, the most current estimated

population for the unit provided in writing by the bureau of business and economic

research at the university of New Mexico; and (4) “ report year ” means the twelve-month period ending on the July 31 immediately preceding the date

upon which a distribution pursuant to this section is required to be made.