Report: New Mexico shelled out $520 million in tax incentives — and got little in return

Report: New Mexico shelled out $520 million in tax incentives — and got little in return

A Legislative Finance Committee analysis found New Mexico’s economic development tax breaks returned just 1.4 cents for every dollar spent in fiscal year 2025, with some incentives showing a negative return on investment.

New study says $512M in state tax credits has done little for state coffers

A new state Legislative Finance Committee study found that for every dollar the state forgoes in tax revenue to spur manufacturing investment, it only recoups 16 cents. (Getty Images)A new study from the New Mexico Legislative Finance Committee found none of the 24 state tax credits or cuts aimed to spur economic development has resulted in increased revenues for the state. LFC economists on Tuesday presented findings of the study, which looked …