New Mexico Advanced Energy Gross Receipts Tax Deduction Report

Advanced Energy Gross Receipts Tax Deduction Report
Form RPD-41349
RPD-41349
Rev. 2/2/2012

New Mexico Taxation and Revenue Department

Advanced Energy Gross Receipts Tax Deduction (Report A)
AS REPORTED ON THE ATTACHED TAX RETURN ON WHICH THE DEDUCTION WAS TAKEN

Name

New Mexico Business Tax Identification
Number (NMBTIN)

First and last day of the report period
(mm/dd/yyyy through mm/dd/yyyy)

AMOUNT OF ADVANCED ENERGY DEDUCTION CLAIMED THIS REPORT PERIOD
Enter the Buyer's NMBTIN
as listed on the Type 10 NTTC.

Tax deduction claimed

Enter the location code.

I declare that I have examined this return including any accompanying schedules and statements, and to the best of my knowledge and
belief, it is true, correct and complete.
Signature of Taxpayer or Agent _______________________________ Title ________________________ Date ________________
(PLEASE CUT ALONG DOTTED LINE)

New Mexico Taxation and Revenue Department

Advanced Energy Compensating Tax Deduction (Report B)
AS REPORTED ON THE ATTACHED CRS-1 FORM ON WHICH THE DEDUCTION WAS TAKEN
Name

New Mexico Business Tax Identification
Number (NMBTIN)

First and last day of the report period
(mm/dd/yyyy through mm/dd/yyyy)

AMOUNT OF ADVANCED ENERGY DEDUCTION CLAIMED THIS REPORT PERIOD
Enter the number of the certificate issued by EMNRD to the
interest owner of the eligible qualified generating facility.

Enter the value of the tangible personal property deducted
when computing the compensating tax due.

I declare that I have examined this return including any accompanying schedules and statements, and to the best of my knowledge and
belief, it is true, correct and complete.
Signature of Taxpayer or Agent _______________________________ Title ________________________ Date ________________

RPD-41349
Rev. 2/2/2012

New Mexico Taxation and Revenue Department

Advanced Energy Deduction Report
Instructions

Page 1 of 2

WHO MUST REPORT. Taxpayers reporting an advanced energy deduction from either gross receipts tax or compensating
tax must file Form RPD-41349-Report A, Advanced Energy
Gross Receipts Tax Deduction Report, or RPD-41349-Report
B, Advanced Energy Compensating Tax Deduction Report,
as an informational attachment to the tax return.

energy deductions reported on the return. The amount of
the advanced energy deduction taken prior to calculating
compensating tax reduces the final compensating tax amount
due. Report deductions for tangible personal property only.
Services do not qualify for the advanced energy compensating tax deduction.

File Report A, Advanced Energy Gross Receipts Tax Deduction Report, if you accepted a Type 10 Nontaxable transaction
certificate (NTTC) from an interest owner for the purchase or
lease of tangible personal property or services that are eligible
generation plant costs. Receipts from selling or leasing tangible personal property or services that are eligible advanced
energy generation plant costs to a person that holds an interest in a qualified generation facility are deductible from gross
receipts taxes. The seller or lessor must attach a completed
Form RPD-41349-Report A to their tax return for the report
period in which the deduction is taken.

Restrictions: These deductions are available for a ten-year
period for purchases and 25-year period for leases, from the
year development of the qualified generating facility begins
and expenditures are made or until the maximum combined
benefit allowed has been taken. The maximum combined
benefit allowed from approved advanced energy tax credits,
advanced energy gross receipts tax deductions and advanced energy compensating tax deductions for a qualified
generating facility may not exceed $60,000,000. You must
track the deductions taken and advanced energy tax credits
approved. Once your deductions and approved tax credits
have reached the $60,000,000 maximum benefit, you must
stop making tax free purchases of eligible generation plant
costs using the advanced energy gross receipts tax deductions and advanced energy compensating tax deductions.
The interest owner who has obtained Type 10 NTTCs must
then return those NTTCs to the Department.

File Report B, Advanced Energy Compensating Tax Deduction
Report, if you are the interest owner and you purchased or
leased tangible personal property that are eligible advanced
energy generation plant costs (services do not qualify). The
value of eligible generation plant costs from the sale or lease
of tangible personal property to a person that holds an interest
in a qualified generating facility may be deducted in computing
the compensating tax due. The interest owner must attach a
completed Form RPD-41349-Report B to their return for the
report period in which the deduction is taken.
ADVANCED ENERGY TAX CREDITS: An interest owner
may also be eligible to claim a tax credit for purchases of
eligible expenses for a qualified generating facility in lieu of
the Advanced Energy Deduction. See Forms RPD-41333,
Advanced Energy Tax Credit Application, and RPD-41334,
Advanced Energy Tax Credit Claim Form, for details.
About the Gross Receipts Tax Deduction: The owner of
the interest in the eligible qualified generating facility must
execute a Type 10 NTTC to the seller or lessor. In order to
obtain a Type 10 NTTC, the interest owner must first obtain
a certificate of eligibility from the New Mexico Environment
Department (NMED). The Type 10 NTTCs may only be
obtained by the interest owner who has been issued the
certificate of eligibility. The seller or lessor that accepts the
Type 10 NTTC must report the deduction on the TRD-41413,
Gross Receipts Tax Return, and if this deduction is taken
also attach Form RPD-41349- Report A, Advanced Energy
Gross Receipts Tax Deduction Report, stating the amount of
advanced energy deductions taken.
About the Compensating Tax Deduction: The owner of the
interest in the eligible qualified generating facility must first
obtain a certificate of eligibility from the NMED to claim the
advanced energy compensating tax deduction. The interest
owner must report any compensating tax deduction due on
the TRD-41412, Compensating Tax Return, and also attach
Form RPD-41349-Report B, Advanced Energy Compensating Tax Deduction Report, stating the amount of advanced

Expenditures for which an advanced energy gross receipts
or compensating tax deduction were claimed are not eligible
for any other deduction or credit against personal income tax,
corporate income tax, compensating tax, gross receipts tax
or withholding tax.
How to Complete the Form: Cut along the dotted line and
submit the completed top portion of the page if filing Report
A, or the completed bottom portion of the page if filing Report
B, with your tax return and any applicable payment by the
25th of the month following the end of the report period. The
information at the top of Report A or Report B, must be the
information for the business reporting the deduction. Mail to
Taxation and Revenue Department, P.O. Box 25128, Santa
Fe, New Mexico 87504-5128. For further assistance call
(505) 476-3683.
RECAPTURE: If the New Mexico Environment Department
(NMED) issues a certificate of eligibility to a taxpayer stating
that the taxpayer holds an interest in a qualified generating
facility and the taxpayer does not sequester or control carbon dioxide emissions to the extent required by January 1,
2017, or 18 months after the commercial operation date of
the qualified generating facility, the taxpayer’s certification
as a qualified generating facility shall be revoked by NMED
and the taxpayer shall refund to the state tax deductions
granted. If the taxpayer demonstrates to the NMED that the
taxpayer made every effort to sequester or control carbon
dioxide emissions to the extent feasible and the facility’s inability to meet the sequestration requirements of a qualified
generating facility was beyond the facility’s control, NMED
shall determine, after a public hearing, the amount of the tax

RPD-41349
Rev. 2/2/2012

New Mexico Taxation and Revenue Department

Advanced Energy Deduction Report
Instructions

credit that should be refunded. NMED, in its determination,
shall consider the environmental performance of the facility
and the extent to which the inability to meet the sequestration requirements of a qualified generating facility was in the
control of the taxpayer. The refund as determined by NMED
shall be paid within 180 days following a final order by NMED.
IMPORTANT DEFINITIONS:
“Eligible generation plant costs” are expenditures for the
development and construction of a qualified generating facility
including permitting; site characterization and assessment;
engineering; design; carbon dioxide capture, treatment, compression, transportation and sequestration; site and equipment
acquisition; and fuel supply development used directly and
exclusively in a qualified generating facility;
Value of “eligible generation plant costs” is the adjusted
basis established for the qualified generating facility under the
applicable provisions of the Internal Revenue Code of 1986.
For purposes of the advanced energy tax credit, eligible
generation plant costs must be "Subject to depreciation".
“Subject to depreciation” means the taxpayer’s federal income
tax return must include a depreciation expense with respect
to the eligible generation plant costs for which an advanced
energy tax credit is sought or claimed. Equipment depreciated
under the accelerated cost recovery system, Internal Revenue
Code Section 168, and property for which the taxpayer makes
an election under Internal Revenue Code Section 179, is
“subject to depreciation”.
“Qualified generating facility” is a facility that begins construction no later than December 31, 2015, and is:
1.	 a solar thermal electric generating facility that begins
construction on or after July 1, 2010, and that may include
an associated renewable energy storage facility;
2.	 a solar photovoltaic electric generating facility that begins
construction on or after July 1, 2010, and that may include
an associated renewable energy storage facility;
3.	 a geothermal electric generating facility that begins construction on or after July 1, 2010;
4.	 a recycled energy project if that facility begins construction
on or after July 1, 2010; or
5.	 a new or repowered coal-based electric generating facility
and an associated coal gasification facility.		
“Recycled energy” is energy produced by a generation unit
with a name-plate capacity of not more than fifteen megawatts
that converts the otherwise lost energy from the exhaust
stacks or pipes to electricity without combustion of additional
fossil fuel.

“Sequester” means to store, or chemically convert, carbon dioxide in a manner that prevents its release into the atmosphere
and may include the use of geologic formations and enhanced
oil, coal bed methane or natural gas recovery techniques.

Page 2 of 2

“Solar photovoltaic electric generating facility” means
an electric generating facility with a name-plate capacity of
one megawatt or more that uses solar photovoltaic energy
to generate electricity.
“Solar thermal electric generating facility” means an
electric generating facility with a name-plate capacity of one
megawatt or more that uses solar thermal energy to generate electricity, including a facility that captures and provides
solar energy to a preexisting electric generating facility using
other fuels in part.
“Interest in a qualified generating facility” means title to a
qualified generating facility; a lessee's interest in a qualified
generating facility; and a county or municipality's interest in
a qualified generating facility when the county or municipality uses an industrial revenue bond for construction of the
qualified generating facility.
“Coal-based electric generating facility” means a new or
repowered generating facility and an associated coal gasification facility, if any, that uses coal to generate electricity and
that meets the following specifications:
•	 emits the lesser of:
1)	 what is achievable with the best available control
technology, or
2)	 thirty-five thousandths pound per million British thermal units of sulfur dioxide, twenty five thousandths
pound per million British thermal units of oxides of
nitrogen and one hundredth pound per million British
thermal units of total particulates in the flue gas;
•	 removes the greater of:
1)	 what is achievable with the best available control
technology, or
2)	 90% of the mercury from the input fuel;
•	 captures and sequesters or controls carbon dioxide emissions so that by the later of January 1, 2017, or 18 months
after the commercial operation date of the coal-based
electric generating facility, no more than one thousand
one hundred pounds per megawat-hour of carbon dioxide
is emitted into the atmosphere,
•	 all infrastructure required for sequestration is in place
by the later of January 1, 2017, or 18 months after the
commercial operation date of the coal-based electric
generating facility,
•	 includes methods and procedures to monitor the disposition of the carbon dioxide captured and sequestered from
the coal-based electric generating facility, and
•	 does not exceed a name-plate capacity of 700 net
megawatts.