N.M. Code R. § 3.2.116.13

Current through Register Vol. 35, No. 16, August 27, 2024

Section 3.2.116.13 - TRUSTEE FEES

A. The receipts of a person appointed as trustee, who is not an employee of the trust, court or other appointing authority, are not exempt from gross receipts tax under the provisions of Section 7-9-28 NMSA 1978 if the appointment exceeds a term of more than 30 days.

B. Example: Q, an individual appointed trustee by a court order, performs the duties of a trustee for a period of approximately eighteen (18) months at a specified monthly rate of compensation. Q is not otherwise engaged in the business of performing as a fiduciary, is not an attorney or a certified public accountant or anyone who customarily receives fees for the performance of personal services. Q is not an employee of a bank, trust department or other financial institution. Receipts of Q are subject to the gross receipts tax because the duration of Q's activity in performing the service indicates that Q is regularly engaged in the business of selling services as trustee.

3/9/72, 11/20/72, 3/20/74, 7/26/76, 6/18/79, 4/7/82, 5/4/84, 4/2/86, 11/26/90, 11/15/96; 3.2.116.13 NMAC - Rn, 3 NMAC 2.28.13 & A, 5/15/01