NM House Revives Tax Increase Proposal
New Mexico – The House has revived a tax increase proposal that failed last week.
The procedural move allows the House to again debate and vote on a bill to raise $90 million by eliminating a state income tax deduction. However, there's no timetable for when the House will take up the measure.
The House last week narrowly rejected the proposal as lawmakers considered other tax bills to balance the state budget.
On Tuesday, the House agreed on a voice vote to reconsider the measure. Republicans unsuccessfully tried to block the move.
The legislation will apply New Mexico's personal income tax to the amount of state and local taxes deducted on a federal return. Currently, the state allows the same itemized deductions used for federal tax purposes.
The tax deduction bill is HB270.
Copyright 2010 The Associated Press.