The state government of New Mexico preempts the field of taxation of insurers, nonprofit health care plans, health maintenance organizations, prepaid dental plans, prearranged funeral plans and insurance producers as such. The payment of the taxes, licenses and fees provided for in the Insurance Premium Tax Act [7-40-1 to 7-40-10 NMSA 1978] and the Insurance Code shall be in lieu of all other taxes, licenses and fees of every kind now or hereafter imposed by this state or any political subdivision thereof on any of the foregoing specified entities, excepting the regular state, county and city taxes on property located in New Mexico and excepting the income tax on insurance producers. The provisions of this section shall not apply to revenues or receipts that are not directly attributable to persons, entities and activities subject to the provisions of the Insurance Code.
History: Laws 1984, ch. 127, § 106; 1987, ch. 259, § 7; 1988, ch. 76, § 3; 2016, ch. 89, § 3; 2018, ch. 57, § 17.
ANNOTATIONSThe 2018 amendment, effective January 1, 2020, included the Insurance Premium Tax Act within the preemption provisions of this section, and clarified that the preemption provisions of this section do not apply to revenues or receipts that are not directly attributable to persons, entities and activities subject to the provisions of the Insurance Code; after "producers as such", deleted "and" and added "The", after "fees provided for in", added "the Insurance Premium Tax Act and", and after "income tax on insurance producers", deleted "No provision of law enacted after January 1, 1985 shall be deemed to modify this provision except by express reference to this section" and added the last sentence.
Temporary provisions. — Laws 2018, ch. 57, § 30 provided that:
A. On January 1, 2020, all personnel directly involved with the audit and collection of the taxes imposed pursuant to the New Mexico Insurance Code prior to the effective date of this act, functions, appropriations, money, records, furniture, equipment and other property of, or attributable to, the financial audit bureau of the office of superintendent of insurance shall be transferred to the taxation and revenue department.
B. On January 1, 2020, no contractual obligations of the office of superintendent of insurance shall be binding on the taxation and revenue department.
The 2016 amendment, effective July 1, 2017, after "prearranged funeral plans and insurance", deleted "agents and solicitors" and added "producers", after "on property located in New Mexico", added "and" and after "excepting the income tax on", deleted "not include insurance adjusters" and added "insurance producers".
Severability. — Laws 2016, ch. 89, § 71 provided that if any part or application of Laws 2016, ch. 89 is held invalid, the remainder or its application to other situations or persons shall not be affected.