Bill > HB337

This bill establishes a "rural infrastructure tax credit" for taxpayers who make qualified investments of at least one million dollars ($1,000,000) in commercial enterprises located in rural counties, specifically for projects involving manufacturing, natural resource extraction, or raw material processing, and that include building construction. The credit, which can be up to thirty percent of the investment cost, aims to stimulate economic development, encourage private investment in manufacturing, provide rural communities an advantage in attracting industry, and promote job creation. Taxpayers can claim a credit of up to one million dollars ($1,000,000) per investment, with a total annual cap of ten million dollars ($10,000,000) for all issued certificates of eligibility by the New Mexico Finance Authority (the "authority"). The credit can be carried forward for up to ten years if it exceeds the taxpayer's liability, and the bill outlines procedures for applying for, receiving, and transferring the credit, as well as provisions for project completion extensions and reporting requirements to evaluate the credit's effectiveness. The "department" refers to the taxation and revenue department, and "modified combined tax liability" is a specific calculation of a taxpayer's tax obligations that excludes local taxes.