The proposed bill establishes a new income tax credit in New Mexico for individuals who volunteer in search and rescue operations. Specifically, taxpayers who are not dependents and volunteer at least six times or for a minimum of sixty hours in a taxable year can claim this credit, known as the "volunteer search and rescue income tax credit." The credit amount varies based on the level of volunteerism: $500 for six to eleven volunteer instances or sixty to one hundred twenty hours, and $1,000 for twelve or more instances or over one hundred twenty hours. The total amount of credits available for certification in any taxable year is capped at $3 million.

To claim the credit, taxpayers must apply for certification from a designated resource officer, who will issue a certificate of eligibility if the requirements are met. The bill also stipulates that any portion of the credit exceeding the taxpayer's liability will be refunded. Additionally, married individuals filing separately can only claim half of the credit they would have received if filing jointly. The provisions of this act will take effect for taxable years beginning on or after January 1, 2025, and the section establishing the credit will be repealed on January 1, 2036.