GRT - Filer's Kit 40 www.tax.newmexico.gov
ACD-31050
REV. 7/1/2023
New Mexico Taxation and Revenue Department
NTTC TYPE DESCRIPTIONS
TYPE 2 certicates may be executed:
1) By manufacturers for the purchase of tangible personal property
that will become an ingredient or component of the manufactured
product. (7-9-46)
2) For the purchase of tangible personal property or licenses for resale
either alone or in combination with other tangible personal property or
licenses in the ordinary course of business. (7-9-47)
3) By a lessee for the lease of tangible personal property or licens-
es for subsequent lease in the ordinary course of business, except
for the lease of furniture or appliances, the receipts from the rental or
lease of which are deductible under Section 7-9-53 (C), the lease of
coin-operated machines, and for the purchase of manufactured homes
as dened in Section 7-9-3(G). (7-9-50)
4) For the purchase of tangible personal property or licenses for sub-
sequent lease in the ordinary course of business, except for the lease
of furniture or appliances, the receipts from the rental or lease of which
are deductible under Section 7-9-53(C); the lease of coin-operated
machines, and for the purchase of manufactured homes as dened in
Section 7-9-3(G). (7-9-49)
5) By a person who is licensed to practice medicine, osteopathic med-
icine, dentistry, podiatry, optometry, chiropractic or professional nurs-
ing for the purchase of prosthetic devices. (7-9-73)
6) By a common carrier for the purchase of fuel that is to be loaded or
used in a locomotive engine. (7-9-110.1 & 7-9-110.3)
TYPE 5 certicates may be executed:
1) For the purchase of services for resale if the subsequent sale by the
buyer is in the ordinary course of business and the subsequent sale
of the service is subject to gross receipts tax or governmental gross
receipts tax. (7-9-48)
2) For the purchase of services for export when sold to an out-of-state
buyer and delivery and initial use of the product of the service occurs
outside New Mexico. (7-9-57)
3) By manufacturers for the purchase of services performed directly
upon tangible personal property they are in the business of manufac-
turing or upon ingredient or component parts thereof. (7-9-75)
4) For the purchase of aerospace services for resale if the subsequent
sale by the buyer is in the ordinary course of business and the services
are sold to a 501(c)(3) organization, other than a national laboratory, or
to the United States. (7-9-54.1)
5) For the sale of professional services to a person engaged in the
business of manufacturing that is related to the product that the buy-
er is in the business of manufacturing. “Professional services” mean
accounting services, architectural services, engineering services, in-
formation technology services and legal services ( Section 7-9-46.1).
TYPE 6 certicates may be executed by a construction contractor:
1) For the purchase of construction materials that will become ingre-
dients or components of a construction project that is either subject to
gross receipts tax upon completion or that takes place on Indian tribal
territory. (7-9-51)
2) For the purchase of construction services that are directly contract-
ed for or billed to a construction project that is either subject to gross
receipts tax upon completion, upon the sale in the ordinary course of
business of the real property upon which the project is constructed or
that takes place on Indian tribal territory. (7-9-52)
3) For the purchase of construction-related services that are directly
contracted for or billed to a construction project that is either subject
to gross receipts tax upon completion, upon the sale in the ordinary
course of business of the real property upon which the project is con-
structed or that takes place on Indian tribal territory. (7-9-52)
4) For the lease of construction equipment that is used at the construc-
tion location of a construction project that is either subject to gross
receipts tax upon completion, upon the sale in the ordinary course of
business of the real property upon which the project is constructed or
that takes place on Indian tribal territory. (7-9-52.1)
NOTE: In order to get this type of NTTC enter your contractor’s
license number on the application OR submit the name of the clas-
sication not required to be licensed. Classications not required
to have a construction contractor’s license based on jurisdiction or
application with the Construction Industries Division of the Regu-
lations and Licensing Department. For more information see the
Department’s website here: www.tax.newmexico.gov/businesses/
non-taxable-transaction-certicates-nttc/
TYPE 9 certicates may be executed for the purchase of tangible per-
sonal property only and may not be used for the purchase of services,
the purchase of a license or other intangible property, for the lease of
property or to purchase construction materials for use in construction
projects (except as provided in #2 below). The following may execute
Type 9 NTTCs:
1) Governmental agencies. (7-9-54 (A))
2) 501(c)(3) organizations. (7-9-60 (A)) These organizations will need
to register with the Department for a New Mexico Business Tax Iden-
tication Number (NMBTIN) and submit proof of Internal Revenue
Service 501(c)(3) nonprot determination before they may execute
Type 9 NTTCs. Those 501(c)(3) organizations that are organized for
the purpose of providing homeownership opportunities to low-income
families may purchase construction materials incorporated into these
construction projects.
3) Federal or state-chartered credit unions. (7-9-54 and 7-9-61.2)
4) Indian tribes, nations or pueblos when purchasing tangible personal
property for use on Indian reservations or pueblo grants. (7-9-54)
5) To be issued by the recipient of an Industrial Revenue Bond, for
tangibles purchased during the bond performance period.(Regulation
3.2.212.22 NMAC)
TYPE 11 certicates may be executed:
1) By manufactures for the purchase of tangible personal property
that is a manufacturing consumable used to create the manufactured
product. A “consumable” means property that is incorporated into,
destroyed, depleted or transformed in the process of manufacturing.
The Type 11 NTTC is not used for the purchase of utilities. (7-9-46B)
2) By manufacturers or manufacturing service providers for the pur-
chase or lease of qualied equipment. May not claim the investment
credit for the same equipment. (7-9-46C)
NOTE: Type 11 NTTCs require the completion of an alternative appli-
cation, Form RPD- 41378, Application for Type 11 or 12 Nontaxable
Transaction Certicates, available online at www.tax.newmexico.
gov or from your local district oce.
TYPE 12 certicates may be executed by manufactures for the pur-
chase of utilities that are manufacturing consumables. (7-9-46B)
NOTE: Type 12 NTTCs require the completion of an alternative appli-
cation, Form RPD- 41378, Application for Type 11 or 12 Nontaxable
Transaction Certicates, and Form RPD- 41377, Manufacturing
Agreement to Pay Gross Receipts on Behalf of a Utility Company
for Certain Utility Sales available online at www.tax.newmexico.gov
or from your local district oce.
TYPE 15 certicates may be executed by qualied federal contractors
on a contract-by-contract basis for the purchase of tangible person-
al property. A copy of the federal contract is required. The Depart-
ment may contact you for additional information. (7-9-47) (Regulation
3.2.205.11 NMAC)
TYPE 16 certicates may be executed by accredited diplomats or mis-
sions for the purchase of property or services or the leasing of prop-
erty. (7-9-89)
TYPE 17 certicates may be executed by government agencies or 501
(c)(3) organizations:
1) For government agencies the purchases of construction material
that is tangible personal property that is determined to be 3-year,
5-year, 7-year or 10-year property for depreciation under Section 168
of the Internal Revenue Code. ((7-9-54 (A)(3))
2) For 501(c)(3) organizations purchases of construction material that
is tangible personal property that is determined to be 3-year, 5-year,
7-year or 10-year property for depreciation under Section 168 of the
Internal Revenue Code. (7-9-60 (B))
NOTE: Type 17 NTTCs require the completion of an alternative
application, Form RPD- 41250, Application for Type 17 Nontaxable
Transaction Certicates, and Form ACD-31050, Application for
Nontaxable Transaction Certicates, available online at www.tax.
newmexico.gov or from your local district oce.
TYPE NTTC-OSB certicates may be executed by out-of-state buyers
for the purchase of tangible personal property that will be resold or
become an ingredient or component of a manufactured product, or
for services performed on a manufactured product. Type NTTC-OSBs
must be obtained by the seller.