SANTA FE — The state House passed a bill Friday that would expand a tax credit for low- and moderate-income workers, increasing the amount of the credit and broadening who would be eligible.
To make up the lost revenue, the proposal would reduce a tax break on capital gains.
Legislative analysts estimated the net effect of the dueling changes would be roughly $6 million in new state revenue, but they cautioned that estimate was uncertain.
Democratic Rep. Javier Martinez of Albuquerque said the changes would allow New Mexico to help more working families and lift people out of poverty.
“It’s a proven poverty-alleviation tool,” he said.