AN ACT

INCREASING THE WORKING FAMILIES TAX CREDIT.

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

Section 1. Section 7-2-18.15 NMSA 1978 (being Laws

2007, Chapter 45, Section 9) is amended to read:

"7-2-18.15. WORKING FAMILIES TAX CREDIT.--

A. A resident who files an individual New Mexico

income tax return may claim a credit in an amount equal to ten

percent of the federal income tax credit for which that

individual is eligible for the same taxable year pursuant to

Section 32 of the Internal Revenue Code. The credit provided

in this section may be referred to as the "working families

tax credit".

B. The working families tax credit may be deducted

from the income tax liability of an individual who claims the

credit and qualifies for the credit pursuant to this section.

If the credit exceeds the individual's income tax liability

for the taxable year, the excess shall be refunded to the

individual."

Section 2. APPLICABILITY.--The provisions of this act

apply to taxable years beginning on or after January 1, 2008.

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