Bill > HB255

This bill amends New Mexico's individual income tax rates, specifically by introducing a new, higher tax bracket for individuals with higher incomes. The bill changes the effective year for these tax rates from 2008 to 2016. For heads of household, surviving spouses, and married individuals filing jointly, the bill establishes a new income threshold of $150,000, above which income will be taxed at a rate of 5.9%, with a new tax amount of $6,942 plus 5.9% of income exceeding $150,000. Similarly, for single individuals and estates/trusts, income over $100,000 will be taxed at 5.9%, with a new tax amount of $4,620.50 plus 5.9% of income exceeding $100,000. The bill also adjusts the income thresholds and corresponding tax amounts for married individuals filing separately, creating a new top bracket for income over $75,000 taxed at 5.9%. These changes are part of the state's tax code, specifically Section 7-2-7 of the New Mexico Statutes Annotated (NMSA) 1978, which outlines individual income tax rates.