PRESS
RELEASE
July
25, 2006
FOR IMMEDIATE RELEASE
CONTACT:
Sharon Kayne, Communications Director, New Mexico Voices for
Children
505-244-9505 ext. 30 (p), 505-401-8709 (c), skayne@nmvoices.org
OR:
Gerry Bradley, Director of Research, New Mexico Voices for Children
505-244-9505 ext. 23 (p), 505-264-0074 (c), gbradley@nmvoices.org
Local
Business Owners Urge Legislators to Close Corporate Tax Loophole
'Combined Reporting' bill would bring the state $50 million
ALBUQUERQUE- A loophole in New
Mexico's corporate tax law allows multi-state corporations to
avoid paying corporate income tax on the money they make in
New Mexico.
Using this loophole, multi-state
corporations can move their profits to another state in order
to avoid showing a profit in New Mexico and paying tax on that
profit. Since locally owned corporations pay their corporate
taxes, this loophole puts them at an economic disadvantage.
The fix, according to New Mexico
Voices for Children economist and Research Director Gerry Bradley,
is legislation that would require 'combined reporting.'
That's exactly what Bradley will
tell an interim legislative committee on Thursday, July 27,
in Deming. Several Deming business owners are expected to also
speak in favor of combined reporting.
It's believed that combined reporting
would bring more than $50 million in revenue to the state of
New Mexico each year.
Closing this tax loophole would
not hurt our efforts to attract new, out-of-state businesses
because every other state west of the Mississippi River - except
New Mexico, Oklahoma and Texas - requires combined reporting.
WHO: Deming business owners and
economist Gerry Bradley, NM Voices for Children
WHAT: State Legislature Revenue Stabilization and Tax Policy
Committee interim meeting
WHERE: Public Schools Administration Board Room at 400 Cody
Rd., in Deming
WHEN: July 27 and 28. Bradley and the local business owners
are scheduled to speak at 10:55am on Thursday, July 27. The
entire interim meeting agenda is posted here: http://legis.state.nm.us/lcs/agendas/rstpagejul27.06.pdf
WHY: To support combined reporting legislation
###
New Mexico
Voices for Children is a nonprofit organization advocating for
policies to improve the health and well-being of New Mexico's
children, families and communities.
2340 Alamo SE, Suite 120, Albuquerque, NM 87106; 505-244-9505;
www.nmvoices.org
