{"id":123108,"date":"2016-02-02T20:26:08","date_gmt":"2016-02-03T03:26:08","guid":{"rendered":"http:\/\/nmpolitics.net\/index\/?p=123108"},"modified":"2016-02-02T20:27:53","modified_gmt":"2016-02-03T03:27:53","slug":"smith-introduces-bill-to-delay-some-2013-tax-cuts","status":"publish","type":"post","link":"https:\/\/nmpolitics.net\/index\/2016\/02\/smith-introduces-bill-to-delay-some-2013-tax-cuts\/","title":{"rendered":"Smith introduces bill to delay some tax cuts approved in 2013"},"content":{"rendered":"

A state senator who three years ago sponsored a sweeping tax-cut package pushed by Gov. Susana Martinez has introduced legislation to delay key parts of the package, including scheduled reductions in the state’s corporate income tax.<\/p>\n

But Senate Finance Committee Chairman John Arthur Smith, D-Deming, said Tuesday<\/span><\/span> that he introduced Senate Bill 252<\/a> as a “backup” in case the state’s revenue picture<\/a> takes another turn for the worse. He said he won’t push for any committee hearings on the bill unless revenue projections indeed go down again later in the session.<\/p>\n

\"John<\/a>

Courtesy photo<\/p>

John Arthur Smith<\/p><\/div>\n

“We’re not certain that the $30 million in new dollars is a reliable number,” Smith told a reporter. The bill, he said, is “sort of an option” in case falling oil and gas prices once again cause revenue projections to go down.<\/p>\n

Last week, state financial analysts cut revenue expectations for next year by more than $200 million. This left the Legislature only about $30 million in new money to increase spending above this year’s $6.3 billion budget.<\/p>\n

“We have a strong belief by a few members who are familiar with oil and gas that we’re $70 million to $90 million too strong in that number,” Smith said.<\/p>\n

Smith says SB 252 would bring in an extra $24 million to $25 million. “But that might not be enough to plug the hole,” he said. “We’re plugging a lot of the holes with non-reoccurring [revenue],” the senator said. “And that bothers me for next year.”<\/p>\n

The bill, introduced Monday<\/span><\/span>, would delay for two years the corporate tax cuts, which only affect corporations with taxable income of more than $1 million.<\/p>\n

Currently, the rate is $56,000 plus 6.9 percent in excess of $1 million. The rate is set to drop this year to 6.6 percent.<\/p>\n