Gov. Lujan Grisham signs measure extending tax holiday
HB 170 extends Small Business Saturday for five years
SANTA FE – Gov. Michelle Lujan Grisham announced on Thursday that she has signed into law a bill to extend the Small Business Saturday tax holiday for another five years.
The measure suspends collection of the Gross Receipts Tax on the sale of qualified items at New Mexico-based businesses that have fewer than 10 employees on the Saturday after Thanksgiving.
Sponsored by Rep. Doreen Y. Gallegos and Sen. Steven P. Neville, HB 170 extends the sunset date on the tax holiday to July, 1, 2025 – meaning Small Business Saturday is alive and well for the next five holiday shopping seasons.
“Small Business Saturday has become a new tradition for many families during the holiday season,” said Gov. Michelle Lujan Grisham. “It’s a great way to support home-grown New Mexico businesses and save money on holiday gifts.”
In 2020, Small Business Saturday will be Nov. 28. Fifteen categories of merchandise qualify for the tax-free status – including toys, games, electronics and sporting goods – as long as individual items cost less than $500.
On average, 48 cents of each dollar spent locally stays in a community versus 14 cents spent at a chain store, according to studies compiled by the American Independent Business Alliance