$720 Million in “New Money” Signals Need for Tax Cuts

The latest estimaes are in and it looks like New Mexico is in for a massive windfall of $720 million in FY 2008. While we are confident that our elected officials would have no problem spending it all, thus digging the state a financial hole, it makes more sense for our economically-impoverished state to continue reducing the income tax burden the state places on the productive activities of its citizens. With $720 million in unanticipated revenues, there is no reason to stop cutting the income tax when the rate reaches 4.9 percent.