After the pandemic, 83% of corporate taxes remain unpaid in N.M.

By: - September 3, 2021 5:30 am

(Getty images)

Companies operating in New Mexico who are behind on their taxes and were given extra time to catch up ended up paying only 17 percent of what they owe the state, a legislative panel learned on Thursday, Sept. 2.

House Bill 6 was passed in the first special session in 2020 as part of a series of pandemic-response measures. It required corporations and individuals to file their tax returns on time, but gave them more time to pay without penalties or interest.

Overall, $30.5 million in corporate income taxes qualified for relief under the bill, but $25.3 million, or nearly 83%, remains unpaid after the deadline, according to the state Taxation and Revenue Department.

Individuals did substantially better at getting their taxes paid. Of the $69.5 million in personal income taxes that qualified for relief, only $26.9 million, or nearly 39%, remains unpaid.

“That money (corporate and personal) is back in the process of having penalty and interest charged,” Department Secretary Stephanie Schardin Clarke told the Revenue Stabilization and Tax Policy Committee, which met on the Senate floor.

The bill also extended payment deadlines for payroll withholding and gross receipts taxes, totaling $25.6 million. Of that, $15 million remains unpaid.

It also extended deadlines for property taxes, but the department does not know how much tax money qualified for relief or how much has been paid, because county governments collect property taxes in New Mexico.

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Austin Fisher
Austin Fisher

Austin Fisher is a journalist based in Santa Fe. He has worked for newspapers in New Mexico and his home state of Kansas, including the Topeka Capital-Journal, the Garden City Telegram, the Rio Grande SUN and the Santa Fe Reporter. Since starting a full-time career in reporting in 2015, he’s aimed to use journalism to lift up voices that typically go unheard in public debates around economic inequality, policing and environmental racism.