Section 13. Documenting Deductible Sales

Retailers claiming the deduction under Section 7-9- 95 NMSA 1978 are required to maintain in their records the type of item sold, the date sold and the sales price of deductible merchandise sold during the time period specified in Section 7-9-95 NMSA 1978. [3.2.242.13 NMAC - N, 8/15/05; A, 7/31/12] 3.2.242.14 ITEMS THAT DO NOT QUALIFY FOR THE DEDUCTION UNDER SECTION 7-9-95 NMSA 1978: In addition to those items specifically excluded in the statute, the following are ineligible for the deduction: A. e-readers that only have the ability to access the internet but that have no other computing functions such as word processing, spreadsheet capabilities, etc.; B. personal digital assistants (PDAs), MP3 players, cassette players and recorders, cameras, books, magazines and other periodicals; C. all computer and computer-related equipment not specifically deductible under Section 7-9-95 NMSA 1978 unless bundled with and included in the price of items that qualify for the deduction under Section 7-9- 95 NMSA 1978; D. all computer software unless bundled with and included in the price of items that qualify for the deduction under Section 7-9-95 NMSA 1978; E. all games including video games, board games, computer games, and handheld gaming devices; F. musical instruments; G. materials and equipment used for making, repairing or altering clothing such as cloth, thread, yarn, needles, buttons, zippers, and patterns; H. athletic and protective gloves, pads, supporters, and helmets; I. swimwear, cover-ups, and caps; J. specialized footwear not readily adaptable for wearing on the street, such as ski boots, riding boots, waders, bowling shoes and shoes with cleats or spikes; and K. briefcases and luggage; prerecorded CDs, DVDs, and cassette tapes. 3.2.242 NMAC 3