S 205 COUNTY HOSPITAL GROSS RECEIPTS TAX

Sen Roberto "Bobby" Gonzales

Actions: [3] STBTC/SFC-STBTC [12] DP-SFC- DP - PASSED/S (29-8) [16] HTRC-HTRC [18] DP [19] PASSED/H (65-2)

Scheduled: Not Scheduled

 Senate Bill 205 (SB 205) creates the County Hospital Gross Receipts Tax in the amount of 0.50%. 

 Senate Bill 205 (SB 205) creates a new local option tax, the County Hospital Gross Receipts Tax (GRT). 

By ordinance, the county’s governing body may impose an excise tax in the amount of 0.50%. The tax revenue is to support local nursing education programs (25%) and payment of GRT bonds for hospital capital projects. The majority of county voters must approve the tax. If voters do not approve the tax, the governing body must wait a year before proposing it again.

The County Hospital GRT is limited to class B counties with a population of less than 37,000 and property tax valuation of more than $1.59 billion but less than $2 billion. As of 2022 there are six non-B counties: Bernalillo, Dona Ana, Los Alamos, San Juan, Sandoval, and Santa Fe, but not all Class B counties will meet the requisite property valuation.

The effective date of SB 205 is July 1, 2023.