‘Tortilla tax’ flattened by House

Posted at: 02/17/2010 8:32 PM | Updated at: 02/17/2010 8:35 PM
By: Taryn Bianchin, KOB.com


Items like bologna, whole milk, and white tortillas would have been taxed if the bill passed.

With only 18 hours left in the legislative session, lawmakers in the House have killed a bill that would have taxed some groceries.

Lawmakers in the house’s Business and Industry committee unanimously agreed on Wednesday to kill a bill that would have taxed some foods.

The bill was dubbed the ‘Tortilla tax’ because it would have taxed flour tortillas along with a variety of other grocery items including whole milk, peanut butter, white rice, and other groceries not included under the state Health Department's rules for the Women, Infants, and Children food program.

The Senate had previously passed the bill in an effort to raise revenues and avoid deeper spending cuts.

House Rep. Moe Maestas (D-Albuquerque) was one of those who disagreed. "It's the most regressive tax I could think of-- and then to suggest that a tax can curb people's eating habits? It's just plain ridiculous.”

With that over, lawmakers plan to work until the early hours of Thursday trying to reach agreement on a budget for the next fiscal year that balances both tax increases and spending cuts.

If no agreement is reached, Governor Richardson has said he’s prepared to call a special session next week.

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