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F I S C A L I M P A C T R E P O R T
SPONSOR Sandoval
DATE TYPED 02/08/05 HB 484
SHORT TITLE
INCOME TAX CONTRIBUTION TO NATIONAL
GUARD
SB
ANALYST Padilla-Jackson
REVENUE
Estimated Revenue
Subsequent
Years Impact
Recurring
or Non-Rec
Fund
Affected
FY05
FY06
$11.0
$22.0
Recurring Veterans’ Service
Department
(Parenthesis ( ) Indicate Revenue Decreases)
SOURCES OF INFORMATION
LFC Files
Responses Received From
Taxation and Revenue Department (TRD)
SUMMARY
Synopsis of Bill
House Bill 484 adds a new section to the Income Tax Act to allow an individual to designate a
portion of their income tax refund to be contributed for assistance to members of the New Mex-
ico National Guard activated for service in the global war on terrorism and to their families.
The bill also adds a new section to the Tax Administration Act to provide a distribution to the
Secretary of Veteran’s Services in an amount equal to the money designated pursuant to the In-
come Tax Act (above).
The provisions of this bill, if passed, would be applicable to taxable years beginning on or after
January 1, 2005.
FISCAL IMPLICATIONS
According to TRD analysis, the total fiscal impact is estimated to be $22 thousand in FY06.
They note that the FY05 year impact is assumed to be 50 percent of the recurring impact. TRD
notes that this estimate is the approximate average of tax year 2003 tax return contributions to