Foster Youth Employment Tax Cut
An act relating to taxation; enacting the foster youth employment income tax credit and the foster youth employment corporate income tax credit.
- The stated purpose of the new credit is to encourage the employment of foster youth. The bill defines “qualified foster youth” as an individual who is at least 14 years of age; is working at least 20 hours per week; and was in the legal custody of the Children, Youth and Families Department (CYFD), a New Mexico Indian nation, tribe or pueblo, or the U.S. Department of the Interior Bureau of Indian Affairs (BIA) within the last seven years.
- Senate Bill 231 amends the Income Tax Act and the Corporate Income and Franchise Tax Act to create a new non-refundable tax credit against a taxpayer’s tax liability in an amount up to $1,000 of the gross wages paid to each qualified foster youth that is employed for a full taxable year. (source: NMLegis.gov)
- Viante New Mexico supports this bill because it incentivizes business owners to open up pathways for alternative employment that the qualified foster youth may not have been exposed to before.