HB 27 New Mexico House · 2026 Regular Session

TECHNOLOGY JOBS R&D TAX CREDIT EXPANSION

HB 27 expands New Mexico's Technology Jobs and Research & Development Tax Credit by broadening the definition of "qualified expenditure" to include property owned by municipalities or counties for industrial revenue bond projects. This change directly affects technology companies and research facilities in New Mexico that qualify for the credit, allowing them to claim tax credits for costs related to local government-owned facilities used in qualifying R&D activities. The bill modifies existing tax code definitions to include these previously excluded property costs, without altering the credit's base eligibility criteria or calculation method. The amendment applies to businesses meeting standard requirements under the Technology Jobs and R&D Tax Credit Act, such as conducting qualified research in New Mexico facilities.

Bill status in committee 1 of 4 stages cleared

Introduction

Jan 2026

Committee Review

Floor Vote

Governor

Introduced Jan 2, 2026 Last action Mar 24, 2026

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What changed between versions

introduced version → CE substitute · 5 edits

MODERATE

This bill expands the Technology Jobs and Research and Development Tax Credit Act by allowing municipalities and counties to claim tax credits for property owned in connection with industrial revenue bond projects, previously excluded. It also adds a new provision allowing tax credit certificates to be transferred or sold for a limited period (2026-2028) and clarifies eligibility for small businesses and married individuals filing separately.

Scope change

The bill expands the scope of eligible expenditures to include property owned by municipalities or counties in connection with industrial revenue bond projects, and introduces a new transferability mechanism for tax credits.

ELIGIBILITY

Expanded the definition of 'qualified expenditure' to include expenditures for property owned by a municipality or county in connection with an industrial revenue bond project, with specific exclusions for projects before January 1, 2025.

Added new provisions for married individuals filing separate returns to each claim one-half of the additional credit that would have been claimed on a joint return.

Added a new definition for 'qualified research and development small business' with specific thresholds for employee count, qualified expenditures, and ownership structure.

REQUIREMENT

Added a new provision allowing certificates of eligibility for basic and additional credits (for taxable years 2026-2028) to be sold, exchanged, or transferred to another taxpayer, with a $50 million annual cap on transferable credits.

DEFINITION

Added a new definition for 'data center' and modified the definition of 'qualified facility' to explicitly exclude data centers from qualifying as research facilities.

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Full legislative history

Actions timeline

Total actions

Key actions

Committee

Jan 29, 2026

Lower · Passed

DO NOT PASS, replaced with committee substitute

lower

Jan 21, 2026

Introduced

Sent to House Commerce & Economic Development Committee & House Taxation & Revenue Committee

lower

Jan 2, 2026

Introduced

Sent to House Pre-file

lower

5 primary · 0 co-sponsors