0001| HOUSE BILL 98 | 0002| 43RD LEGISLATURE - STATE OF NEW MEXICO - SECOND SESSION, 1998 | 0003| INTRODUCED BY | 0004| DANICE PICRAUX | 0005| | 0006| | 0007| | 0008| | 0009| | 0010| AN ACT | 0011| RELATING TO TAXATION; AMENDING A SECTION OF THE INCOME TAX ACT | 0012| TO REFORMULATE AND INDEX THE EXEMPTION FOR PERSONS WHO ARE | 0013| SIXTY-FIVE YEARS OF AGE AND OLDER OR BLIND. | 0014| | 0015| BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF NEW MEXICO: | 0016| Section 1. Section 7-2-5.2 NMSA 1978 (being Laws 1985, | 0017| Chapter 114, Section 1, as amended) is amended to read: | 0018| "7-2-5.2. EXEMPTION--INCOME OF PERSONS SIXTY-FIVE AND | 0019| OLDER OR BLIND.-- | 0020| A. For taxable years beginning on or after | 0021| January 1, 1998, any individual sixty-five years of age or | 0022| older or who, for federal income tax purposes, is blind may | 0023| claim an exemption in an amount specified in [Subsections A | 0024| through C of this section] Paragraphs (1) and (2) of this | 0025| subsection not to exceed eight thousand dollars ($8,000) of |
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0001| income includable except for this exemption in net income. | 0002| Individuals having income both within and without this state | 0003| shall apportion this exemption in accordance with regulations | 0004| of the secretary. | 0005| [A. For married individuals filing separate | 0006| returns, for any taxable year beginning on or after January 1, | 0007| 1987: | 0008| The maximum amount of | 0009| If adjusted exemption allowable under | 0010| gross income is: this section shall be: | 0011| Not over $15,000 $8,000 | 0012| Over $15,000 but not over $16,500 $7,000 | 0013| Over $16,500 but not over $18,000 $6,000 | 0014| Over $18,000 but not over $19,500 $5,000 | 0015| Over $19,500 but not over $21,000 $4,000 | 0016| Over $21,000 but not over $22,500 $3,000 | 0017| Over $22,500 but not over $24,000 $2,000 | 0018| Over $24,000 but not over $25,500 $1,000 | 0019| Over $25,500 0. | 0020| B. For heads of household, surviving spouses and | 0021| married individuals filing joint returns, for any taxable year | 0022| beginning on or after January 1, 1987: | 0023| The maximum amount of | 0024| If adjusted exemption allowable under | 0025| gross income is: this section shall be: |
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0001| Not over $30,000 $8,000 | 0002| Over $30,000 but not over $33,000 $7,000 | 0003| Over $33,000 but not over $36,000 $6,000 | 0004| Over $36,000 but not over $39,000 $5,000 | 0005| Over $39,000 but not over $42,000 $4,000 | 0006| Over $42,000 but not over $45,000 $3,000 | 0007| Over $45,000 but not over $48,000 $2,000 | 0008| Over $48,000 but not over $51,000 $1,000 | 0009| Over $51,000 0. | 0010| C. For single individuals, for any taxable year | 0011| beginning on or after January 1, 1987: | 0012| The maximum amount of | 0013| If adjusted exemption allowable under | 0014| gross income is: this section shall be: | 0015| Not over $18,000 $8,000 | 0016| Over $18,000 but not over $19,500 $7,000 | 0017| Over $19,500 but not over $21,000 $6,000 | 0018| Over $21,000 but not over $22,500 $5,000 | 0019| Over $22,500 but not over $24,000 $4,000 | 0020| Over $24,000 but not over $25,500 $3,000 | 0021| Over $25,500 but not over $27,000 $2,000 | 0022| Over $27,000 but not over $28,500 $1,000 | 0023| Over $28,500 0.] | 0024| (1) For single individuals and married | 0025| individuals filing separate returns, the exemption amount |
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0001| allowable under this section is: | 0002| (a) eight thousand dollars ($8,000) for | 0003| those taxpayers whose adjusted gross income is equal to or | 0004| less than the base amount; and | 0005| (b) an amount equal to eight thousand | 0006| dollars ($8,000) less two-thirds of the difference between the | 0007| taxpayer's adjusted gross income and the base amount; provided | 0008| that, if the calculation results in a negative number, the | 0009| amount shall be zero. | 0010| (2) For heads of households, surviving | 0011| spouses and married individuals filing joint returns, the | 0012| exemption amount allowable under this section is: | 0013| (a) eight thousand dollars ($8,000) for | 0014| those taxpayers whose adjusted gross income is equal to or | 0015| less than the base amount; and | 0016| (b) an amount equal to eight thousand | 0017| dollars ($8,000) less one-third of the difference between the | 0018| taxpayer's adjusted gross income and the base amount; provided | 0019| that, if the calculation results in a negative number, the | 0020| amount shall be zero. | 0021| B. For taxable years beginning in calendar years | 0022| 1998 and 1999, the base amount for single individuals is | 0023| eighteen thousand dollars ($18,000); for married individuals | 0024| filing separate returns, fifteen thousand dollars ($15,000); | 0025| and for heads of households, surviving spouses and married |
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0001| individuals filing jointly, thirty thousand dollars ($30,000). | 0002| For taxable years beginning in calendar years after 1999, the | 0003| base amount shall be multiplied by a fraction, the numerator | 0004| of which is the consumer price index for all urban consumers | 0005| published by the United States department of labor for the | 0006| twelve-month period ending in August of the preceding calendar | 0007| year and the denominator of which is the consumer price index | 0008| for all urban consumers for the twelve-month period ending in | 0009| August 1998; provided that the value of the fraction shall | 0010| never be less than one. | 0011| C. Exemption amounts shall be rounded down to the | 0012| nearest twenty-five dollars ($25.00) for married persons | 0013| filing separately and to the nearest fifty dollars ($50.00) | 0014| for all other filers." | 0015|  |