Why do New Mexicans even PAY taxes?

It is hard to quantify just how big the oil and gas surpluses are and how much the industry does for New Mexico’s economy (and how poorly the money is being managed by our Gov. and Legislature). But check out the graphic below from the New Mexico Oil and Gas Association. The State received a mind-blowing $7.5 billion in JUST the general fund in FY 2023. An additional $6.4 billion was sent to various permanent funds and other uses. That is simply future spending.

Simply put, as the chart below highlights, as of FY 2022, the oil and gas industry could have paid the entirety of New Mexico’s general fund burden. Given the current oil and gas revenue situation, it would be pretty easy for the State tax burden for ALL New Mexicans to be ZERO. Of course some fiscal restraint and reduction in subsidies/mandates etc. could improve upon that.

So, why ARE New Mexicans paying ANY State taxes?