HB 108: RURAL INFRASTRUCTURE TAX CREDIT

An Act Relating To Taxation; Creating The Rural Infrastructure Tax Credit.

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MILD HB 108
RURAL INFRASTRUCTURE TAX CREDIT

Legislative URL:

HB 108 on nmlegis.gov

Emergency Clause:

No

Germane:

N/A

Location:

HWMC

Action:

HPREF [1] not prntd-HRC [5] w/drn-prntd-ref- HBEC/HWMC-HBEC [9] DP-HWMC API.

Issue(s):

General Interest

Related Legislators

Bill Sponsor:

James Strickler

Related Documents

Downloads:

Introduced
HBEC Committee Report
Fiscal Impact Report

Related Events

Upcoming:

HOUSE WAYS AND MEANS COMMITTEE 8:30 am

Summary

This bill, for the Economic and Rural Development Committee and the Jobs Council, creates the Rural Infrastructure Tax Credit, available prior to January 1, 2022 to a taxpayer who invests at least $1,000,000 in a commercial enterprise project that meets certain criteria including, among others, that: it is not located within 10 miles of a municipality with a population of 55,000 or more; its purpose is to manufacture goods, extract natural resources or process raw materials for sale; and it includes the construction of at least one building.

The Rural Infrastructure Tax Credit is limited to 30 percent of the cost of each qualified investment, with a maximum credit of $1,000,000 for each of as many as three qualified investments in a taxable year. The total amount of Rural Infrastructure Tax Credits may not exceed $10,000,000 in any calendar year.

A possible benefit of this bill might be stimulation of economic development and job creation in rural communities. A potential concern might be that it may encourage the extraction of natural resources.