| PRESS
RELEASE
March 27,
2007
FOR IMMEDIATE RELEASE CONTACT:
Bill Jordan, Policy Director, New Mexico Voices for Children
505-244-9505 ext.
11 (p), 505-350-3097 (c), bjordan@nmvoices.org OR:
Sharon Kayne, Communications Director,
New Mexico Voices for Children
505-244-9505 ext. 30 (p), 505-401-8709 (c),
505-244-9509 (f), skayne@nmvoices.org New
Report Shows Improvement in
State's Tax Fairness for Low Income ALBUQUERQUE-A
new national report released by the Washington, DC-based Center on Budget and
Policy Priorities (CBPP) shows that New Mexico is improving in regards to income
tax fairness for its low-income families. Among the 42 states that collect income
taxes, only 10 states rank better than New Mexico in terms of the income tax levied
on working families of four with income at or near the poverty line, according
to the report "This recent legislative session
was really good for working families and their children," said Bill Jordan,
Policy Director for New Mexico Voices for Children. "With the two income
tax bills just passed by the Legislature, we've put a bit more fairness back into
our state income tax system." Jordan is referring
to the just-passed Working Families Tax Credit, which is a state-level version
of the federal Earned Income Tax Credit (EITC). Both credits reward hard work
and benefit low- and middle-income families. Both federal and state-level versions
of the credit have had broad bipartisan support. The
state Legislature also increased personal income tax exemptions for low-income
families. "These two bills are a big step toward making New Mexico's tax
structure more progressive," Jordan said. A progressive tax structure is
one in which those making the most money pay the highest percentages. "These
are both issues we've fought for and we're grateful for the support shown by both
the Legislature and the governor," he said. Jordan
added that the statewide minimum wage raise, which also passed in the recent session
and has been signed by the governor, will further improve things for New Mexico's
children. "When you support your working families, you're supporting not
just the heart of the community, but the state's economy and its future as well,"
he said. New Mexico still has a broad-based gross
receipts tax, which takes a higher toll on low-wage workers than those with high
incomes, and Jordan would still like to see the personal income tax threshold
- the level at which one begins to pay income tax - raised so that more low-income
families are exempted entirely. But the new tax legislation "is an excellent
start," Jordan said. The complete CBPP report
is available online at www.cbpp.org/3-27-07sfp.htm. ### New
Mexico Voices for Children is a nonpartisan, 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 (p); www.nmvoices.org | 
