SENATE BILL 51

51st legislature - STATE OF NEW MEXICO - second session, 2014

INTRODUCED BY

Timothy M. Keller and Mimi Stewart

AN ACT

RELATING TO TAXATION; INCREASING THE WORKING FAMILIES TAX CREDIT TO SEVENTEEN PERCENT OF THE FEDERAL INCOME TAX CREDIT; REPEALING SECTION 7-2-34 NMSA 1978 (BEING LAWS 1999, CHAPTER 205, SECTION 1, AS AMENDED).

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF NEW MEXICO:

     SECTION 1. Section 7-2-18.15 NMSA 1978 (being Laws 2007, Chapter 45, Section 9, as amended) is amended to read:

     "7-2-18.15. WORKING FAMILIES TAX CREDIT.--

          A. A resident who files an individual New Mexico income tax return may claim a credit in an amount equal to [ten] seventeen percent of the federal income tax credit for which that individual is eligible for the same taxable year pursuant to Section 32 of the Internal Revenue Code. The credit provided in this section may be referred to as the "working families tax credit".

          B. The working families tax credit may be deducted from the income tax liability of an individual who claims the credit and qualifies for the credit pursuant to this section. If the credit exceeds the individual's income tax liability for the taxable year, the excess shall be refunded to the individual."

     SECTION 2. DELAYED REPEAL.--Section 7-2-34 NMSA 1978 (being Laws 1999, Chapter 205, Section 1, as amended) is repealed effective January 1, 2015.

     SECTION 3. APPLICABILITY.--The provisions of Section 1 of this act apply to taxable years beginning on or after January 1, 2014.

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