Report critical of NM business tax system

Posted at: 10/10/2013 7:49 AM
By: The Associated Press



SANTA FE (AP) - A report by the conservative-leaning Tax Foundation says New Mexico ranks near the bottom nationally in having a tax system that's competitive with other states in attracting businesses and generating economic growth.
    
The group placed New Mexico 38th among all states for its "business tax climate" as of July 1, when the current fiscal year started.
    
That ranking is unchanged from the previous year. However, the report said New Mexico's standing may improve in the future because of a new law phasing in corporate income tax rate cuts over five years starting in 2014.
    
New Mexico was at the top of rankings for low property taxes but near the bottom for sales taxes because of the state's gross receipts tax.