Bill > HB265

This bill establishes a new "Taxpayer Dividend Income Tax Rebate Fund" and outlines how it will be funded and used to provide income tax rebates to eligible New Mexico residents. Specifically, it redirects a portion of federal mineral leasing funds, which were previously designated for early childhood education and care, to this new rebate fund. The bill also creates a mechanism to distribute any excess revenue from extraction taxes to the rebate fund after other reserves are met. Eligible residents who file a New Mexico income tax return and are not dependents will receive a rebate calculated based on the total amount in the fund at the end of the previous calendar year divided by the number of eligible filers, with rebates potentially reducing or being refunded from their tax liability, and these provisions will apply to tax years beginning January 1, 2026, or later.

Budget and Finance

https://www.nmlegis.gov/Legislation/Legislation?chamber=H&legtype=B&legno=265&year=26