Gross receipts tax rate hiked

FORT SUMNER — The De Baca County Commission on March 8 gave final approval for a 1/16 of a cent hike in the gross receipts tax.

The hike, expected to generate about $12,000 per year for the county, was approved on a 3-0 vote. The vote followed a public hearing on the issue, which drew no comments.

The tax rate hike was approved through adoption of Ordinance 2021-01.

Commission chairman Scot Stinnett said the commission felt the need to implement the increase as the county is faced with an impending increase in the minimum wage and reduced revenues due to the COVID-19 pandemic.

The New Mexico minimum wage increased to $10.50 per hour on Jan. 1 and will rise to $11.50 on Jan. 1, 2022. That wage will rise to $12 on Jan. 1, 2023.

Additionally, Stinnett said, a bill making its way through the Legislature would raise the minimum wage to $15 in 2024.

The GRT increase approved March 8 will raise the county-imposed rate to 6.69375 starting July 1, 2021. In the village limits, the new tax rate will be 8.00625.