Albuquerque, NM asked in Tax Law, Agricultural Law, Arbitration / Mediation Law and Business Law for New Mexico

Q: In the case of Agricultural Deductions 7-9-58 for auctioneers will this just cover the buying and selling of livestock?

A truck driver is exempt for hauling feed for live stock under this code. Will the the truck driver be exempt when hauling to and from the auction?

1 Lawyer Answer
James L. Arrasmith
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Answered
  • Tax Law Lawyer
  • Sacramento, CA

A: The specific Agricultural Deductions code you're referring to seems to be designed to provide tax benefits for activities directly related to agriculture, such as the buying and selling of livestock. In the context of auctioneers, this would typically cover transactions involving livestock.

As for a truck driver hauling feed for livestock, their exemption under this code likely hinges on whether their activities are considered an essential part of agricultural operations. Hauling feed directly to farms for livestock is clearly within the scope of agricultural activities.

However, when it comes to hauling to and from auctions, the exemption may depend on how closely tied these activities are to the direct agricultural process. If the transport is seen as a critical part of the agricultural business, like delivering livestock to or from an auction, it might fall under the exemption.

Given the nuanced nature of tax codes, it's advisable to consult with a tax advisor or legal counsel who can analyze the specifics of the truck driver's role in relation to the agricultural process. They can provide a more detailed interpretation of how the code applies in different hauling scenarios.

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