NMSA 1978, § 7-3A-5 — 7-3A-5

Remitters and pass-through entities liable for amounts
deducted and withheld; exceptions.

# A.

Every remitter or pass-through entity is liable for:
(1) amounts required to be deducted and withheld by the Oil and Gas
Proceeds and Pass-Through Entity Withholding Tax Act regardless of whether the
amounts were in fact deducted and withheld; and
(2) for the amounts that a remittee or an owner has agreed to remit pursuant
to Subsection G of Section 7-3A-3 NMSA 1978, once the department has notified the
remitter or pass-through entity that the remittee or owner has failed to remit.

# B.

A remitter or pass-through entity is not liable for amounts required to be deducted
and withheld by the Oil and Gas Proceeds and Pass-Through Entity Withholding Tax
Act but not deducted or withheld if:
(1) the remitter or pass-through entity fails to deduct and withhold the required
amounts and if the tax against which the required amounts would have been credited is
paid; or
(2) the remitter's or pass-through entity's failure to deduct and withhold the
required amounts is due to reasonable cause.