Bill > HB326

This bill creates a new Small Business Disaster Relief Income Tax Credit for small business owners in New Mexico who have been impacted by a governor-declared disaster area. Eligible businesses must have been in operation for at least two consecutive years, experienced a 30% decline in gross revenue due to the disaster, and have annual gross revenue under $2 million. Qualifying business owners can receive a $5,000 tax credit, which can be claimed within one year of receiving certification from the Economic Development Department. The credit can be fully or partially refunded if it exceeds the taxpayer's income tax liability. For married couples filing separately, the credit will be split equally, and for businesses structured as partnerships or limited liability companies, the credit can be allocated proportionally based on ownership interest. The total credit claimed by all members cannot exceed the allowable amount. This tax credit will be included in the state's tax expenditure budget, and it will apply to taxable years beginning on or after January 1, 2025.

Agriculture and Natural Resources

https://www.nmlegis.gov/Legislation/Legislation?chamber=H&legtype=B&legno=326&year=25