100% of gross receipts from sale and installation of solar energy systems
New Mexico has a gross receipts tax structure for businesses instead of a sales tax. Businesses are taxed on the gross amount of their business receipts each year before expenses are deducted. Revenue generated by the sale and installation of solar systems used to provide space heat, hot water or electricity to the property on which it is installed may be deducted from gross receipts before the gross receipts tax is calculated. Also covered are dark colored water tanks exposed to sunlight, including all equipment necessary for the installation and operation of the water tank as a part of the overall water system of the property; and a non-vented trombe wall, and all equipment necessary for the installation and operation of the trombe wall.
The seller must have a signed copy of [http://www.emnrd.state.nm.us/ECMD/CleanEnergyTaxIncentives/documents/RPD... Form RPD-41341] to claim the deduction, or other evidence acceptable to EMNRD that the service or equipment was purchased for the sole use of the sale and installation of a qualified energy system.
Click [http://www.emnrd.state.nm.us/ECMD/CleanEnergyTaxIncentives/documents/Sol... here] for more information.