N.M. Admin. Code § 3.2.225.8

Current through Register Vol. 35, No. 23, December 10, 2024

Section 3.2.225.8 - COMMISSIONS ON SALES OF REAL PROPERTY, INTANGIBLE PROPERTY OR PRIVILEGES

A. Receipts derived from commissions on sales of real property or intangible property such as negotiable instruments and stocks and bonds or privileges, such as licenses and tickets, are not deductible under Section 7-9-66 NMSA 1978.

B. Where a real estate brokerage commission is apportioned by prior agreement (written or oral) among the brokers who listed the property, the broker who sold the property and the sales personnel of each, gross receipts from the commission are to be allocated as provided in the agreement and are to be taxed in accordance with this allocation, provided that the real estate brokers are to withhold and pay over the gross receipts tax applicable to that portion of the commission allocated to sales personnel of that broker.

12/5/69, 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, 3/8/91, 11/15/96; 3.2.225.8 NMAC - Rn, 3 NMAC 2.66.1.8 & A, 6/14/01