As used in the Gross Receipts and Compensating Tax Act: A. “construction” means:

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Terms Used In New Mexico Statutes 7-9-3.4

  • Personal property: All property that is not real property.

(1)     the building, altering, repairing or demolishing in the ordinary course of business any:

(a) road, highway, bridge, parking area or related project; (b) building, stadium or other structure;

(c) airport, subway or similar facility;

(d) park, trail, athletic field, golf course or similar facility; (e) dam, reservoir, canal, ditch or similar facility;

(f) sewerage or water treatment facility, power generating plant, pump station, natural gas compressing station, gas processing plant, coal gasification plant, refinery, distillery or similar facility;

(g) sewerage, water, gas or other pipeline; (h) transmission line;

(i) radio, television or other tower; (j) water, oil or other storage tank;

(k) shaft, tunnel or other mining appurtenance; (l) microwave station or similar facility;

(m)retaining wall, wall, fence, gate or similar structure; or

(n) similar work;

(2)     the leveling or clearing of land; (3)     the excavating of earth;

(4)     the drilling of wells of any type, including seismograph shot holes or core drilling; or

(5)     similar work;

B. “construction material” means tangible personal property that becomes or is intended to become an ingredient or component part of a construction project, but “construction material” does not include a replacement fixture when the replacement is not construction or a replacement part for a fixture; and

C. “construction-related service” means a service directly contracted for or billed to a specific construction project, including design, architecture, drafting, surveying, engineering, environmental and structural testing, security, sanitation and services required to comply with governmental construction-related rules. “Construction-related service” does not include general business services, such as legal or accounting services, equipment maintenance or real estate sales commissions.