New Mexico Appendix: 2026 Undesignated Legislative Enactments § 7-9-51.2. Deduction;  gross receipts;  sale of construction materials and labor used for the development of affordable housing multifamily residential housing projects

(1) the construction materials and labor are being used for the purpose of developing multifamily residential housing;

(2) eighty percent or more of the housing units being developed will be affordable housing;

(3) the construction materials and labor are sold to a qualifying grantee for a single project that is residential housing pursuant to the Affordable Housing Act;  and

(4) the buyer of the construction materials and labor delivers a nontaxable transaction certificate to the seller or provides alternative evidence pursuant to Section 7-9-43 NMSA 1978.

(1) “affordable housing” means multifamily residential housing primarily for persons or households of low or moderate income;

(2) “building” means a structure capable of being renovated or converted into affordable housing or a structure that is to be demolished and is located on land that is donated and upon which affordable housing will be constructed;

(3) “low or moderate income” means a household in which the current annual income is at or below eighty percent of the area median income for the geographic area in which the household is located, adjusted for family size, as determined by the United States department of housing and urban development;  and

(4) “multifamily residential housing” means any building or portion thereof that is primarily occupied, or is designed or intended to be primarily occupied, as a residence by more than three households.  “Multifamily residential housing” includes congregate housing and transitional or temporary housing for homeless persons.