Author Archives | Gerry Bradley
Gerry Bradley has served as Research Director for New Mexico Voices for Children since 2004, having served as an economist with several state agencies. While he was Bureau Chief of the Economic Research and Statistics Bureau at the state’s Labor Department, Gerry served on several national-level advisory groups on labor statistics sponsored by the US Bureau of Labor Statistics. He has conducted regional economic analyses including input-output modeling, and performed fiscal impact analysis of bills before the state Legislature. Gerry is one of the state’s most respected experts in the field of labor and economics and has an extensive background in tax and policy analysis.
Why the poor pay the highest tax rate in New Mexico—and one step toward a fix
It’s widely agreed that the poorest among us should not pay the highest tax rate, but in New Mexico (as in most states) they do. State and local taxes—particularly sales and property taxes (shown in the light blue and orange bars in the graphic below)—take up a higher percentage of incomes at the lowest end of the scale. That’s because the smaller your paycheck, the more of it you spend just on day-to-day living expenses—most of which are taxed...
Continue reading...The Lingering Near-death Experience of the NM Corporate Income Tax
20. December 2014
While profitable corporations require roads, police protection, and other public infrastructure and services as much as the rest of us, New Mexico has ensured that they will be paying much less of the cost to maintain them. The tax cuts for corporations enacted by the state Legislature and signed by the Governor in 2013 are proving to be much more expensive than originally estimated. So much so that within the next few years we will lose 60 percent of our corporate income tax revenue...
Continue reading...At tax time don’t forget how corporate income tax breaks impact your tax bill
14. April 2014
In mid-April, as we prepare our income tax returns, it’s likely we equate the amount of tax we owe with how much money we make and how many deductions we can take. In truth, what we pay in all taxes, including income taxes, is dependent on many other variables, such as how much—or how little—profitable corporations are paying.
Corporate America is very good at lowering its income tax bills. It has been so successful, in fact, that corporate income taxes (CIT) make up a much smaller share of total federal tax revenue than they did 60 years ago. In the 1950s, CIT made up almost 30 percent of all federal tax revenue. It’s been about 10 percent since the 1980s...
Continue reading...Flat-Lining New Mexico’s Tax System Would Make it Even More Unfair
18. December 2013
New Mexico’s state and local tax system is already unfair—with the lowest-income New Mexicans paying a rate double that of the highest-income earners. A so-called ‘flat tax’ or ‘consumption tax’ would make the tax system even more regressive. Still, there are legislators who would like to enact a consumption tax. Representative Tom Taylor and Senator William Sharer introduced twin bills (HB-369 and SB-368) during the 2013 legislative session to do just that. Although that legislation did not pass, it is all but guaranteed to make a reappearance in January—and in subsequent years if it is not adopted in 2014...
Continue reading...New Mexico’s dwindling Lottery Scholarship Trust Fund a symptom of state’s poor financial aid policy
21. August 2013
Classes begin this week at the University of New Mexico and other state colleges and universities. The tuition for some students will be covered by the New Mexico Legislative Lottery Scholarship. Each level of education these students attain will mean higher incomes and lower levels of unemployment.
The lottery scholarship has made it possible for tens of thousands of New Mexico youth to attend college, but the trust fund that supports the scholarship is fast running out of money. Unless the Legislature finds more money for the trust fund, limits the number of students who can receive the scholarship, or lowers the amount of the award, the fund will be nearly depleted by the end of fiscal year 2014...
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14. January 2015
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