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SENATE BILL 272
57
TH LEGISLATURE
-
STATE
OF
NEW
MEXICO
-
FIRST SESSION
,
2025
INTRODUCED BY
Crystal Brantley
AN ACT
RELATING TO TAXATION; EXEMPTING FROM INCOME TAX THE INCOME OF
AN INDIVIDUAL WHO IS A FOSTER PARENT, IS A GUARDIAN OF THE
INDIVIDUAL'S GRANDCHILD OR HAS ADOPTED THE INDIVIDUAL'S
GRANDCHILD.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF NEW MEXICO:
SECTION 1. A new section of the Income Tax Act is enacted
to read:
"[NEW MATERIAL] EXEMPTION--INCOME OF FOSTER PARENTS,
GUARDIAN GRANDPARENTS AND ADOPTIVE GRANDPARENTS.--
A. The income of an individual who, during the
entire taxable year, is a foster parent of a child, is a
guardian of the individual's grandchild or has adopted the
individual's grandchild is exempt from state income tax for
that taxable year; provided that the child or grandchild has
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not reached eighteen years of age during the taxable year.
B. The exemption provided by this section shall be
included in the tax expenditure budget pursuant to Section
7-1-84 NMSA 1978, including the annual aggregate cost of the
exemption.
C. As used in this section:
(1) "foster parent" means a person licensed or
certified by the children, youth and families department or a
child placement agency to provide care for children in the
custody of the department or agency; and
(2) "guardian" means a person appointed as a
guardian pursuant to the Kinship Guardianship Act."
SECTION 2. APPLICABILITY.--The provisions of this act
apply to taxable years beginning on or after January 1, 2025.
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