Food Tax Removed from Tax Reform Bill

There was bad news, uncertain news, and good news in the New Mexico State Legislature in terms of hunger and food-related initiatives this week. First the bad news, the House failed to approve a measure that would fund the purchase of locally grown produce for school meals.  The uncertain news:  the SNAP supplement (primarily for seniors) is still up in the air (but we remain hopeful). Now for the good news. The House unanimously discarded the food tax during this year's legislative session.

Here is a note from Think New Mexico

Good news: last night, the state House passed a major tax reform bill after voting 64-0 to remove a provision that would have reimposed the food tax!

This tax reform bill (House Bill 412) is the one we wrote to you about in December when it was first presented to a legislative interim committee. House Bill 412 closes many tax loopholes and lowers the overall state sales tax rate, but it initially included a new tax on food. Reimposing a regressive tax on necessities like fruit, vegetables, and baby food never belonged in a tax reform package.

Thanks in part to the thousands of emails that New Mexicans like you sent to legislators, Speaker Brian Egolf declared the food tax a "deal breaker" and last night the House of Representatives voted unanimously to remove it from the bill.