Tax reform will be on the agenda for the special legislative session set to begin on May 24. The Rio Grande Foundation supports policies that will result in lower tax rates and fewer loopholes. To be clear, we don’t support ANY further addition to New Mexicans’ tax burdens. The story left that particular information on the “cutting room floor.”
Nonetheless, our position has been consistently the same: exempting groceries from the GRT and raising rates on other items was bad tax policy. Voices for Children actually agreed with us at the time, but now opposes re-imposing the tax on groceries as reflected in the story.
Embedding the story proved impossible, so click on this link.
A food tax is a huge daily tax on each person living in this State. It definitely severely impacts the pockets of everyone including singles, families, young, elderly, with many in those groups ill-affording same. Also, an automatic 8% increase will be added to the costs of food stamp recipients thus decreasing the dollar amount they can spend on food or necessitating a rise in food stamp amounts to compensate for that 8%. That means more taxes on non food stamp users to pay for the increase. Essentials like food and medical needs absolutely should be and stay tax exempt.