Bill > HB199

This bill modifies New Mexico tax law to allow the Department of Taxation to share taxpayer return information with staff of the Legislative Finance Committee (LFC) under specific, controlled circumstances. The bill establishes a detailed framework for how such confidential tax information can be shared, requiring that the department and LFC director create a memorandum of understanding with security protocols to protect taxpayer privacy. When sharing return information, the department can only provide aggregated data covering at least three taxpayers, must remove personally identifiable information, and cannot include details prohibited by federal law. The LFC staff receiving this information are strictly limited to using it only for evaluating state or local government programs with fiscal impacts. The bill also specifies that any staff member who improperly reveals or misuses this confidential information could face criminal penalties, including a potential fine of up to $1,000, up to one year in prison, and a five-year ban from state employment. The provisions of this bill will take effect on July 1, 2025, providing time for implementing the new information-sharing protocols.

Budget and Finance, Government Affairs

https://www.nmlegis.gov/Legislation/Legislation?chamber=H&legtype=B&legno=199&year=25