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SPONSOR: | Jennings | DATE TYPED: | 02/11/00 | HB | |||
SHORT TITLE: | One Time Income Tax Credit | SB | 444 | ||||
ANALYST: | Williams |
Subsequent
Years Impact |
Recurring
or Non-Rec |
Fund
Affected | ||
FY00 | FY01 | |||
$ (215,000.0) | $ (226,000.0) | Recurring | General Fund |
(Parenthesis ( ) Indicate Revenue Decreases)
Duplicates/Conflicts with/Companion to/Relates to
SOURCES OF INFORMATION
Taxation and Revenue Department (TRD)
SUMMARY
Synopsis of Bill
The bill would authorize a one-time tax credit to all taxpayers in New Mexico from savings realized by the Johnson Administration. The bill presents three areas where savings were projected:
Total of these savings components is $229,000.0.
FISCAL IMPLICATIONS
TRD reflects recurring general fund revenue loss of $215,00.0 in FY 01 and $226,000.0 for a full year. The Department notes this is equal to decreasing all income tax rates by 25 percent.
OTHER SUBSTANTIVE ISSUES
TRD notes the amount of the tax credit is not a function of actual savings realized.
TRD assumes the credit is non-refundable, i.e. only available to New Mexicans with positive income tax liability. Individuals with zero or negative income tax liability would not be eligible for the credit.
Non-residents with positive tax liabilities would be eligible for the credit.
AW/gm