Bill > SB281

This bill repeals the deduction for food gross receipts, meaning that businesses will no longer be able to subtract the gross receipts from food sales when calculating their tax liability. This change will affect how municipalities and counties receive distributions of gross receipts tax revenue, as the calculations for these distributions will be adjusted to account for the removal of the food deduction. Specifically, the bill amends existing laws related to distributions to municipalities and counties, replacing references to the food deduction with a broader "health care practitioner services deduction" and adjusting the formulas for calculating these distributions. The bill also repeals Section 7-9-92 NMSA 1978, which is the specific section of law that established the food gross receipts deduction, and sets the effective date of these changes to July 1, 2016.