Was the last minute ‘tax package’ a good deal for New Mexicans? There were pieces the NMBC liked and others it didn’t, however, we anticipate it will be law and will support the decision of the Governor.
There is one issue, in particular, that is of concern to many: the 17-year phase out of the hold harmless agreement for counties and municipalities. To compensate for the loss of revenue, the political entities would be given the ability to raise Gross Receipts Taxes (GRT) up to 3/8 of one percent – without a vote by the people. A summary from the NM Economic Development Department of this bill and other business-related bills is here for your review.
What exactly does that mean? The hold harmless agreement was passed by the legislature in 2004 when it decided to remove GRT from food, medicine, and some medical services. While the removal of that tax was good for New Mexicans, it meant less revenue to municipalities and counties. As part of the deal to remove the tax, the state held political entities harmless from the loss of revenue and replaced the lost revenue from the general fund.
During the legislative session, we saw true heroes rise up and take a stand against the infringement of our individual rights; they stood against laws that would hinder a company’s ability to operate successfully and create jobs for those who want them. Want to hear the details on NMBC HEROES and ZEROS? Plan now to attend the next BASH:
THE NMBC Post-Session BASH (Business and Social Hour) Is April 11: Don’t miss out on the fun and inside scoop on how our elected officials performed during the 2013 legislative session, April 11, 4:30 – 6:30 pm, at the Albuquerque Country Club, 601 Laguna Blvd SW. GET YOUR TICKETS TODAY!
THANK YOU TO OUR BASH SPONSORS:
Aragon Law Firm, PC – Robert Aragon
NM American Fire and Sprinkler Association – David Wilson
Light appetizers provided; cash bar available.
Join us as we work to make 2013 a prosperous New Year!