Virtually no matter how you slice the data, New Mexico is a high-tax state. Wallethub found our combined “sales” (GRT), income, and property tax burdens 20th-highest as a percent of income. The Federation of Tax Administrators places us 11th-heaviest for 2017.
Adding additional evidence to the case for New Mexico’s high-tax status, Key Policy Data has just released data showing that New Mexico’s state and local tax burden (tax collections divided by private sector personal income) was the sixth highest in the nation for FY 2016 at 17.6 percent—or 24 percent above the national average of 14.3 percent.
With a $672 budget surplus (thanks to oil production and prices) an attempt at revenue-neutral tax reform is an absolute minimum. Even better would be a move to reduce the overall tax burdens faced by New Mexicans.