HOUSE DEMOCRATS NEWS
Increased tax rebate would help uplift hard-hit children, families and seniors
A bill reforming the current Low-Income Comprehensive Tax Rebate (LICTR) passed the House Consumer and Public Affairs Committee Tuesday, bringing greater tax relief for low-income New Mexicans one step closer to reality.
Sponsored by Rep. Christine Chandler (D – Los Alamos), House Bill 42, the Low-Income Comprehensive Tax Rebate Changes Act, would provide New Mexico taxpayers who make under $36,000 with an increased tax rebate under LICTR. Designed to offset the regressivity of the state’s Gross Receipts Tax and return some tax fairness to hardworking families, House Bill 42 would help more than 125,000 New Mexicans and annually return more than $30 million to local economies.
“It’s time that New Mexico families who really contribute to our economy and state have the support and help they need,” said Rep. Chandler. “Increasing our state’s investment in the Low-Income Comprehensive Tax Reform program would make our tax system fairer for hardworking families and deliver some much-needed relief for those who’ve been hardest hit in this pandemic.”
Under the current LICTR program, which has not been tied to inflation since its inception in 1998, individuals receive rebates as little as $10 and families as little as $450. Under House Bill 42, those rebates would increase to roughly $15 for individuals and $730 for families.
House Bill 42 passed the House Consumer and Public Affairs Committee in a vote of 4-1 and will be heard next in the House Taxation and Revenue Committee.
Members of the public can access committee meetings and House floor sessions via the New Mexico Legislature website on the Webcasts tab, or participate by Zoom to provide public comment to committee hearings. During the 2021 Legislative Session, the House of Representatives is focused on critical legislation while protecting the health and safety of the public, the staff, and the legislators.