NMSA 1978, § 7-9-96.2 — 7-9-96.2

Credit; gross receipts tax; unpaid charges for services
provided in a hospital.

# A.

A licensed medical doctor, licensed osteopathic physician or association of
licensed medical doctors or osteopathic physicians may claim a credit against gross
receipts taxes due in an amount equal to the value of unpaid qualified health care
services.

# B.

As used in this section:
(1) "association of licensed medical doctors or osteopathic physicians" means
a corporation, unincorporated business entity or other legal entity organized by, owned
by or employing one or more licensed medical doctors or osteopathic physicians;
provided that the entity is not:
(a) an organization granted exemption from the federal income tax by the
United States commissioner of internal revenue as organizations described in Section
501(c)(3) of the United States Internal Revenue Code of 1986, as that section may be
amended or renumbered; or
(b) a health maintenance organization, hospital, hospice, nursing home or an
entity that is solely an outpatient facility or intermediate care facility licensed pursuant to
the Public Health Act [Chapter 24, Article 1 NMSA 1978];
(2) "qualified health care services" means medical care services provided by
a licensed medical doctor or licensed osteopathic physician while on call to a hospital;
and
(3) "value of unpaid qualified health care services" means the amount that is
charged for qualified health care services, not to exceed one hundred thirty percent of
the reimbursement rate for the services under the medicaid program administered by
the human services department [health care authority department], that remains unpaid
one year after the date of billing and that the licensed medical doctor or licensed
osteopathic physician has reason to believe will not be paid because:
(a) at the time the services were provided, the person receiving the services
had no health insurance or had health insurance that did not cover the services
provided;
(b) at the time the services were provided, the person receiving the services
was not eligible for medicaid; and
(c) the charges are not reimbursable under a program established pursuant to
the Indigent Hospital and County Health Care Act [Chapter 27, Article 5 NMSA 1978].