If approved the bill would move the state from the fourth lowest gas tax to the fourth highest in the nation, according to the Tax Policy Institute. NMBC voiced strong opposition to this regressive tax and will continue to monitor its progress.
Representative Matthew McQueen (D) has proposed a new regressive tax that will eventually amount to an additional 35 cents/gallon tax on vehicle fuel. For a small 15 gallon tank, you’ll pay an extra $5.25 to fill up and a larger truck/SUV could cost you over $12 more. The new tax dollars will be split in thirds as follows:
- A new ‘Clean Infrastructure Fund’ that will soak up most of the money to cover the expansion of government to manage it; and
- A special ‘Low Income Rebate Fund’. Low income folks, whether they buy vehicle fuel or not, will be eligible for a rebate of these taxes.
That’s great for those not buying fuel, but not so great for the other low-income folks who may not get as much back, but are also subsidizing the rebates. You can also imagine the cost to businesses, such as manufacturers, transportation, etc that will have to raise consumer prices to pay for this.
This is bad policy and another bad move for a state that has just hit another record revenue surplus. Had enough of bad decisions on how to take more of your hard-earned money?
NMBC encourages you to share this petition with anyone who agrees that New Mexican families don’t need to pay for another regressive tax at the pump