AN ACT

RELATING TO TAXATION; CREATING AN OPTIONAL DESIGNATION FOR A PERSONAL INCOME TAX CONTRIBUTION FOR THE STATE PARKS DIVISION OF THE ENERGY, MINERALS AND NATURAL RESOURCES DEPARTMENT; PROVIDING FOR A DISTRIBUTION; MAKING AN APPROPRIATION.

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

     Section 1. A new section of the Tax Administration Act is enacted to read:

     "DISTRIBUTION--CONTRIBUTIONS TO THE STATE PARKS DIVISION.--A distribution pursuant to Section 7-1-6.1 NMSA 1978 shall be made to the energy, minerals and natural resources department in an amount equal to the money designated pursuant to the Income Tax Act as contributions to the state parks division of the energy, minerals and natural resources department for the kids in parks education program. The energy, minerals and natural resources department shall remit the amount designated for the state parks division to the state parks division for expenditure for the kids in parks education program."

     Section 2. A new section of the Income Tax Act is enacted to read:

     "OPTIONAL DESIGNATION OF TAX REFUND CONTRIBUTION--ENERGY, MINERALS AND NATURAL RESOURCES DEPARTMENT--STATE PARKS DIVISION.--

          A. Except as otherwise provided in Subsection C of this section, an individual whose state income tax liability after application of allowable credits and tax rebates in a year is lower than the amount of money held by the department to the credit of such individual for that tax year may designate a portion of the income tax refund due to the individual to be paid to the state parks division of the energy, minerals and natural resources department for the kids in parks education program. In the case of a joint return, both individuals must make such designation.

          B. The department shall revise the state income tax form to allow the designation of such contributions in the following form:

          "State Parks Division — Check if you wish to     □

          contribute a part or all of your tax refund

          to the state parks division of the energy,

          minerals and natural resources department

          for the kids in parks education program. Enter

          here $__________ the amount of your contribution.".

          C. The provisions of this section do not apply to income tax refunds subject to interception under the provisions of the Tax Refund Intercept Program Act, and any designation made under the provisions of this section to such refunds is void."

     Section 3. APPLICABILITY.--The provisions of this act apply to taxable years beginning on or after January 1, 2005.