This bill amends various taxation laws in New Mexico, focusing on adjustments to tax brackets under the Income Tax Act and the Corporate Income and Franchise Tax Act. It proposes reductions in several tax rates, including the gross receipts tax and gaming tax for manufacturer licensees, while increasing the bingo and raffle tax rate. The bill also removes the authorization for using a state gross receipts tax increment to fund metropolitan redevelopment projects and repeals multiple tax acts and credits, including the estate tax act. Notably, it introduces a gross receipts tax exemption for donations to nonprofit organizations and imposes additional registration fees for electric and plug-in hybrid electric vehicles. The bill aims to streamline tax regulations and eliminate outdated provisions while making appropriations for various purposes.

Additionally, the bill enhances financing mechanisms for metropolitan redevelopment projects and economic development initiatives by requiring local governments to notify relevant authorities about the approval of redevelopment plans and the achievement of project goals. It allows municipalities and counties to dedicate increments of their gross receipts taxes to secure bonds for financing tax increment development projects. The bill also updates definitions related to tax increment financing, introduces new deductions and exemptions for various sectors, and clarifies tax payment and refund processes. Overall, the legislation seeks to modernize tax administration, promote sustainable development, and improve the financial processes related to tax distributions and recoveries in New Mexico.

Statutes affected:
introduced version: 3-31-1, 3-31-1.1, 3-60A-23, 3-60A-23.1, 3-65-8, 3-66-8, 5-10-17, 5-15-20, 5-15-27, 6-22-2, 6-23-8, 7-1-2, 7-1-6.15, 7-1-6.42, 7-1-6.53, 7-1-6.62, 7-1-6.69, 7-1-6.70, 7-1-8.8, 7-1-13.1, 7-1-26, 7-1-29, 7-1-68, 7-2-7, 7-2-34, 7-2A-5, 7-9-4, 7-9-4.3, 7-9-7, 7-9-13.2, 7-9-18, 7-9-26, 7-9-41.5, 7-9-46, 7-9-46.1, 7-9-58, 7-9-59, 7-9-62, 7-9-77, 7-9-78.1, 7-9-90, 7-9-110.1, 7-9-120, 7-14A-3, 7-16A-21, 7-27-5.26, 7-27-5.27, 7-1-6.13, 52-6-23, 59A-5-11, 59A-5-23, 59A-6-3, 59A-6-6, 59A-6-8, 59A-15-4, 59A-20-33, 59A-22-50, 59A-23C-10, 59A-23F-6.1, 59A-23F-11, 59A-34-33, 59A-39-5, 59A-47-3, 59A-47-8, 59A-54-3, 59A-54-7.1, 60-2F-21, 66-3-7, 66-3-118, 66-3-401, 66-3-1006, 66-6-23, 66-6-25, 66-12-5.2, 66-12-6.1, 3-60A-49, 6-21-5.1, 7-2E-1.1, 7-9G-1