Form Asd - 22238 - Application For Resident Business Certification (Page 4 of 4) in pdf

APPROVALS AND PENALTIES

TRD will examine the application and affidavit. If necessary, TRD may seek additional information to ensure

the business’ eligibility. If TRD determines that the business is eligible, it will issue a certificate to the business.

If TRD determines that the business is not eligible, it will issue notification within 30 days. If such notification

is not provided by the Department, the application is deemed approved.

A certificate is valid for three years from the date of issuance; provided that if there is a change of ownership

of more than 50%, the applicant must reapply. A business must also reapply if it has changed its name, reorga-

nized into one or more different legal entities or was purchased by or merged with another legal entity, but now

operates in New Mexico as substantially the same commercial enterprise. In such a case, the certification of

the business in its previous form will apply three years from the date of the previous certification, but only to

the extent the business was eligible for certification in its previous form.

If an application is denied, the business has 15 days from the date of the denial to file an objection with TRD,

submitting evidence to support the objection. TRD must review the evidence and issue a response to the objec-

tion within 15 days of the filing of the objection.

If following a hearing and an opportunity to be heard, TRD finds that a business provided false information to

TRD in order to obtain a certificate or that a business used a certificate to obtain a preference and the business

did not perform the percentage of the contract specified in the bid or proposal, the business:

1. Is not eligible to receive a certificate or preference for a period of five years from the date on which

TRD became aware of the submission of the false information or the failure to perform the con-

tract as specified in the bid or proposal; and

2. Is subject to an administrative penalty of up to $50,000 for each violation.

REVOCATIONS

TRD will contemplate revoking an issued certificate if information is revealed that the holder’s situation has

changed and/or the business does not qualify as a resident business. If TRD contemplates revocation, it will

issue a Notice of Contemplated Action to the business. The business will be provided with an opportunity to

request an administrative hearing on the matter.

APPLICATION AND FEE SUBMISSION

Submit the application along with $35 application fee to:

New Mexico Taxation and Revenue Department

Santa Fe District Office

PO Box 5374

Santa Fe, NM 87502-5374

For questions concerning the application process please call (505) 827-0951.

Form Asd - 22238 - Application For Resident Business Certification Page 4