NMSA 1978 Chapter 7 — Taxation

NMSA 1978, § 7-2-14

Low-income comprehensive tax rebate

Official textnmonesource.comlast amended 202110 subsections

# A.

Except as otherwise provided in Subsection B of this section, any resident who files an individual New Mexico income tax return and who is not a dependent of another individual may claim a tax rebate for a portion of state and local taxes to which the resident has been subject during the taxable year for which the return is filed. The tax rebate may be claimed even though the resident has no income taxable under the Income Tax Act. Married individuals who file separate returns for a taxable year in which they could have filed a joint return may each claim only one-half of the tax rebate that would have been allowed on a joint return.

# B.

No claim for the tax rebate provided in this section shall be filed by a resident who was an inmate of a public institution for more than six months during the taxable year for which the tax rebate could be claimed or who was not physically present in New Mexico for at least six months during the taxable year for which the tax rebate could be claimed.

# C.

For the purposes of this section, the total number of exemptions for which a tax rebate may be claimed or allowed is determined by adding the number of federal exemptions allowable for federal income tax purposes for each individual included in the return who is domiciled in New Mexico plus two additional exemptions for each individual domiciled in New Mexico included in the return who is sixty-five years of age or older plus one additional exemption for each individual domiciled in New Mexico included in the return who, for federal income tax purposes, is blind plus one exemption for each minor child or stepchild of the resident who would be a dependent for federal income tax purposes if the public assistance contributing to the support of the child or stepchild was considered to have been contributed by the resident.

# D.

Except as provided in Subsection F of this section, the tax rebate provided for in this section may be claimed in the amount shown in the following table:
Modified gross income is:
And the total number of exemptions is:
But Not 6 or
Over Over 1 2 3 4 5 More
$ 0 $ 1,000 $ 195 $ 260 $ 325 $ 390 $ 455 $ 520
1,000 1,500
1,500 2,500
2,500 7,500
7,500 8,000
8,000 9,000
9,000 10,000
10,000 11,500
11,500 13,000
13,000 14,500
14,500 16,500
16,500 18,000
18,000 19,500
19,500 21,000
21,000 23,000
23,000 24,500
24,500 26,000
26,000 27,500
27,500 29,500
29,500 31,000
31,000 32,500
32,500 34,000
34,000 36,000
220
220
220
205
185
170
145
130
115
105
100
90
80
80
75
65
55
50
40
35
25
15
315
315
315
310
285
250
210
185
170
155
130
115
105
105
100
90
80
75
55
50
40
35
405
405
405
390
375
340
275
235
220
185
165
145
140
140
120
115
105
100
80
65
50
40
505
505
505
495
480
425
360
295
275
235
210
180
165
165
145
140
130
115
100
80
65
55
570
570
570
575
575
510
445
365
315
285
250
220
185
185
170
155
140
130
115
100
80
65
675
705
730
730
700
665
600
480
390
335
300
260
230
230
195
180
170
155
130
105
90
75.

# E.

If a taxpayer's modified gross income is zero, the taxpayer may claim a credit in the amount shown in the first row of the table appropriate for the taxpayer's number of exemptions as adjusted by the provisions of Subsection F of this section.

# F.

For the 2022 taxable year and each subsequent taxable year, the amount of rebate shown in the table in Subsection D of this section shall be adjusted to account for inflation. The department shall make the adjustment by multiplying each amount of rebate by a fraction, the numerator of which is the consumer price index ending during the prior taxable year and the denominator of which is the consumer price index ending in tax year 2021. The result of the multiplication shall be rounded down to the nearest one dollar ($1.00), except that if the result would be an amount less than the corresponding amount for the preceding taxable year, then no adjustment shall be made.

# G.

The tax rebates provided for in this section may be deducted from the taxpayer's New Mexico income tax liability for the taxable year. If the tax rebates exceed the taxpayer's income tax liability, the excess shall be refunded to the taxpayer.

# H.

For purposes of this section:

# (1)

"consumer price index" means the consumer price index for all urban consumers published by the United States department of labor for the month ending September 30; and

# (2)

"dependent" means "dependent" as defined by Section 152 of the Internal
Revenue Code of 1986, as that section may be amended or renumbered, but also includes any minor child or stepchild of the resident who would be a dependent for federal income tax purposes if the public assistance contributing to the support of the child or stepchild was considered to have been contributed by the resident.

Amendment history

1953 Comp., § 72-15A-11.1, enacted by Laws 1972, ch. 20, § 2; 1973, ch. 336, § 1; 1974, ch. 17, § 1; 1975, ch. 213, § 1; 1977, ch. 197, § 1; 1978, ch. 145, § 1; 1981, ch. 37, § 24; 1986, ch. 20, § 29; 1986 (3d S.S.), ch. 1, § 1; 1987, ch. 264, § 7; 1990, ch. 49, § 8; 1992, ch. 78, § 2; 1994, ch. 5, § 21; 1998, ch. 99, § 2; 2021, ch. 116, § 1.

Source: official source (NMSA chapter on nmonesource.com)

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