Tuesday, March 6, 2012

Martinez Vetoes SB 9

No surprise here. She basically promised to veto the bill to make out-of-state box-store corporations pay state corporate tax.

Here's what she said in a news release:

 Gov. Martinez also vetoed Senate Bill 9, a tax increase on an arbitrarily-chosen set of retailers that would kill jobs, pass higher prices on to consumers, and drive business out of the state. 

 "While proponents of this legislation may have had a few particular corporate targets in mind when pushing for this tax increase, the result would be much broader and raise taxes on businesses like grocery stores," the governor said. 

"Increasing taxes on grocery stores, clothing retailers, and home improvement stores, while choosing to cut taxes for a different set of corporations - such as large banks, casinos, payday loan companies, or any other large corporation that pays corporate income tax - is not only misguided and arbitrary tax policy, but it's also not the way to foster economic growth in New Mexico." 

“I’ve stated repeatedly that if this bill makes New Mexico less competitive, raises taxes, and drives up the cost of items that families and businesses buy every day, I would veto it – and it does just that,” the governor concluded.
UPDATE 4:35 p.m.
Here's the reaction of bill sponsor, Sen. Peter Wirth, D-Santa Fe:

SB9 Wirth Press Release