SENATE BILL 246

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

INTRODUCED BY

William F. Burt

AN ACT

RELATING TO TAXATION; CREATING A DEDUCTION FOR UNIFORMED SERVICES RETIREES FROM THE INCOME TAX ACT.

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

     SECTION 1. A new section of the Income Tax Act is enacted to read:

     "[NEW MATERIAL] DEDUCTION--UNIFORMED SERVICES RETIREE.--

          A. A uniformed services retiree or a uniformed services retiree's surviving spouse may claim a deduction from net income in an amount equal to the following percentages of the uniformed services retiree's or the uniformed services retiree's surviving spouse's military retirement or retainer pay:

                (1) beginning January 1, 2015, twenty-five percent;

                (2) beginning January 1, 2016, fifty percent;

                (3) beginning January 1, 2017, seventy-five percent; and

                (4) beginning January 1, 2018, one hundred percent.

          B. As used in this section, "uniformed services retiree" means a former member of the uniformed services of the United States who has qualified by years of service or disability to separate from military service with lifetime benefits."

     SECTION 2. APPLICABILITY.--The provisions of this act apply to taxable years beginning on or after January 1, 2014.

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