Governor pitches bill to cut gross receipts tax a bit more

Gov. Michelle Lujan Grisham announced an initiative to cut the state’s gross receipts tax rate, which she said could tally more than $400 million in savings for New Mexicans.

House Bill 367 also could lead to savings for consumers, who might see a reduction in prices of some goods as a result of the savings businesses may receive.

The legislation would lower the state’s gross receipts tax rate an additional quarter-percent — from 5% to 4.625% — and create a deduction for a range of services small businesses contract out to other businesses — accounting, legal and payroll work, for example.