Bill > HB293

This bill removes the income caps for the Social Security income tax exemption in New Mexico. Previously, taxpayers could only claim the exemption if their adjusted gross income was below specific thresholds ($75,000 for married individuals filing separately, $150,000 for heads of household or married couples filing jointly, and $100,000 for single individuals). Now, the bill eliminates these income limitations, allowing individuals to claim an exemption for Social Security income regardless of their total adjusted gross income. The exemption amount remains tied to the amount of Social Security income included in adjusted gross income, as defined by Section 86 of the Internal Revenue Code, and cannot exceed the individual's net income. This change will take effect for tax years beginning on or after January 1, 2025, potentially providing tax relief to a broader range of Social Security recipients in New Mexico.

Government Affairs

https://www.nmlegis.gov/Legislation/Legislation?chamber=H&legtype=B&legno=293&year=25