The New Mexico Taxation and Revenue Department has declared that families this year have the chance to benefit from a new child tax credit, which could amount to $600 per eligible child. The value of the credit will decrease as income rises. The department has begun accepting 2023 New Mexico personal income tax returns.
According to the New Mexico Taxation and Revenue Department, the novel child tax credit is expected to distribute an estimated total of $180 million to 292,000 families across New Mexico. With a gradual reduction in value as income increases, the deadline for paper returns is set for April 15, while electronic filers have until April 30. This refundable credit ensures taxpayers receive its full value, exceeding their tax liability if applicable.
The department suggests that various refundable rebates and credits are available for low- and moderate-income residents. Individuals are advised to review personal income tax instructions to determine eligibility for programs such as the working families tax credit and low-income comprehensive tax rebate. According to the department, even those below the IRS income threshold may benefit from filing a state return since refundable credits could lead to tax refunds, even for those with no tax withheld throughout the year.
Schardin Clarke, Taxation and Revenue Secretary said: "We’re very excited about this new credit, which will provide more financial stability for thousands of New Mexico families."
According to its About webpage, The New Mexico Taxation and Revenue Department serves the state by managing over 35 tax programs and distributing revenue across New Mexico. The department comprises various divisions including the office of the secretary, administrative services division, information technology division, property tax division, tax fraud investigation division, revenue processing division, audit and compliance division, and motor vehicle division.