The proposed bill establishes two new tax credits aimed at supporting local news printers in New Mexico: the Local News Printer Income Tax Credit and the Local News Printer Corporate Income Tax Credit. Both credits are available for taxable years prior to January 1, 2031, and allow taxpayers who own a local news printer that employs qualified employees to claim a credit against their tax liability. The amount of the credit is based on the wages paid to qualified employees, with a maximum of $10,000 for those working 20 hours or more per week and $5,000 for those working less than 20 hours. The total annual aggregate amount of these credits is capped at $1,000,000, and taxpayers must apply for certification of eligibility through the department.

The bill defines key terms such as "local news organization," "local news printer," and "qualified employee," outlining specific criteria that entities must meet to qualify for the credits. Additionally, it stipulates that if the credit exceeds a taxpayer's income tax liability, the excess amount will be refunded. The provisions of this act will apply to taxable years beginning on or after January 1, 2026.