0001| SENATE BILL 335
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0002| 43RD LEGISLATURE - STATE OF NEW MEXICO - SECOND SESSION, 1998
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0003| INTRODUCED BY
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0004| LEONARD LEE RAWSON
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0005|
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0006|
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0007|
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0008|
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0009|
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0010| AN ACT
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0011| RELATING TO INCOME TAXATION; AMENDING TAX RATES FOR SURVIVING
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0012| SPOUSES AND MARRIED INDIVIDUALS FILING JOINT RETURNS.
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0013|
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0014| BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF NEW MEXICO:
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0015| Section 1. Section 7-2-7 NMSA 1978 (being Laws 1994,
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0016| Chapter 5, Section 20) is amended to read:
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0017| "7-2-7. INDIVIDUAL INCOME TAX RATES.--The tax imposed by
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0018| Section 7-2-3 NMSA 1978 shall be at the following rates for
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0019| any taxable year beginning on or after January 1, 1996:
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0020| A. For married individuals filing separate
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0021| returns:
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0022| If the taxable income is: The tax shall be:
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0023| Not over $4,000 1.7% of taxable income
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0024| Over $ 4,000 but not over $ 8,000 $ 68.00 plus 3.2% of
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0025| excess over $ 4,000
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- 1 -
0001| Over $ 8,000 but not over $ 12,000 $ 196 plus 4.7% of
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0002| excess over $ 8,000
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0003| Over $ 12,000 but not over $ 20,000 $ 384 plus 6.0% of
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0004| excess over $ 12,000
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0005| Over $ 20,000 but not over $ 32,000 $ 864 plus 7.1% of
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0006| excess over $ 20,000
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0007| Over $ 32,000 but not over $ 50,000 $ 1,716 plus 7.9% of
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0008| excess over $ 32,000
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0009| Over $ 50,000 $ 3,138 plus 8.5% of
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0010| excess over $ 50,000.
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0011| B. For surviving spouses and married individuals
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0012| filing joint returns:
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0013| If the taxable income is: The tax shall be:
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0014| Not over [$8,000] $11,000 1.7% of taxable income
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0015| Over [$ 8,000] $11,000
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0016| but not over [$ 16,000] $19,000 $ 136 plus 3.2% of
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0017| excess over [$ 8,000]
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0018| $11,000
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0019| Over [$ 16,000] $19,000
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0020| but not over [$ 24,000] $26,000 $ 392 plus 4.7% of
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0021| excess over [$ 16,000]
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0022| $19,000
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0023| Over [$ 24,000] $26,000
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but not over [$ 40,000] $41,000 $ 768 plus 6.0% of
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0025| excess over $ [24,000]
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- 2 -
0001| $26,000
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0002| Over [$ 40,000] $41,000
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0003| but not over [$ 64,000] $65,000 $ 1,728 plus 7.1% of
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0004| excess over [$40,000]
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0005| $41,000
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0006| Over [$ 64,000] $65,000
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0007| but not over $100,000 $ 3,432 plus 7.9% of
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0008| excess over [$ 64,000]
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0009| $65,000
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0010| Over $100,000 $ 6,276 plus 8.5% of
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0011| excess over $100,000.
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0012| C. For single individuals and for estates and trusts:
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0013| If the taxable income is: The tax shall be:
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0014| Not over $5,500 1.7% of taxable income
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0015| Over $ 5,500 but not over $ 11,000 $ 93.50 plus 3.2% of
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0016| excess over $ 5,500
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0017| Over $ 11,000 but not over $ 16,000 $ 269.50 plus 4.7% of
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0018| excess over $ 11,000
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0019| Over $ 16,000 but not over $ 26,000 $ 504.50 plus 6.0% of
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0020| excess over $ 16,000
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0021| Over $ 26,000 but not over $ 42,000 $1,104.50 plus 7.1% of
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0022| excess over $ 26,000
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0023| Over $ 42,000 but not over $ 65,000 $2,240.50 plus 7.9% of
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0024| excess over $ 42,000
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0025| Over $ 65,000 $4,057.50 plus 8.5% of
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0001| excess over $ 65,000.
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0002| D. For heads of household filing returns:
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0003| If the taxable income is: The tax shall be:
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0004| Not over $7,000 1.7% of taxable income
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0005| Over $ 7,000 but not over $ 14,000 $ 119 plus 3.2% of
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0006| excess over $ 7,000
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0007| Over $ 14,000 but not over $ 20,000 $ 343 plus 4.7% of
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0008| excess over $ 14,000
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0009| Over $ 20,000 but not over $ 33,000 $ 625 plus 6.0% of
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0010| excess over $ 20,000
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0011| Over $ 33,000 but not over $ 53,000 $1,405 plus 7.1% of
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0012| excess over $ 33,000
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0013| Over $ 53,000 but not over $ 83,000 $2,825 plus 7.9% of
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0014| excess over $ 53,000
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0015| Over $ 83,000 $5,195 plus 8.5% of
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0016| excess over $ 83,000.
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0017| E. The tax on the sum of any lump-sum amounts
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0018| included in net income is an amount equal to five multiplied
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0019| by the difference between:
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0020| (1) the amount of tax due on the taxpayer's
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0021| taxable income; and
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0022| (2) the amount of tax that would be due on an
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0023| amount equal to the taxpayer's taxable income and twenty
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0024| percent of the taxpayer's lump-sum amounts included in net
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0025| income."
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0001| Section 2. APPLICABILITY.--The provisions of this act
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0002| apply to taxable years beginning on after January 1, 1998.
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0003|
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