Eliminate the Tax on Social Security Benefits Say NM Voters
Eliminate the Tax on Social Security Benefits, Say NM Voters Economic Security and Work
New Mexico is one of only 13 states that still taxes Social Security benefits. The state's high tax rate on this benefit has been in place for decades and is among the highest in the country. Proponents of eliminating or modifying this tax argue that because it has remained unchanged for so long, it's now costing the average older New Mexican hundreds of dollars per year. While the revenue from this tax supports a variety of state services and programs, many argue that any gap from eliminating this tax or adjusting the income thresholds can be filled by other sources of revenue. To gauge the opinion of older voters in New Mexico on this issue, AARP commissioned a survey of 801 registered voters ages 50 and older in the state. The survey measured their support or opposition to three broad proposals: completely eliminating the state tax on Social Security benefits, phasing out the tax over time, and increasing the income thresholds to be in line with inflation so that only higher income beneficiaries will have to pay this tax. The survey also tested their tolerance for possible revenue generating options. The survey was fielded in September 2021. For more information, please contact Jennifer Sauer at . For information on this issue in the state, please contact Joseph Sanchez at . Suggested citation: Sauer, Jennifer. AARP in New Mexico Survey of Registered Voters Ages 50+: Opinions on State Social Security Benefits Tax. Washington, DC: AARP Research, November 2021.
Eliminate the Tax on Social Security Benefits Say NM Voters 50
Read the Detailed Findings
(Report, PDF) (PDF) (PDF) See AlsoNew Mexico is one of only 13 states that still taxes Social Security benefits. The state's high tax rate on this benefit has been in place for decades and is among the highest in the country. Proponents of eliminating or modifying this tax argue that because it has remained unchanged for so long, it's now costing the average older New Mexican hundreds of dollars per year. While the revenue from this tax supports a variety of state services and programs, many argue that any gap from eliminating this tax or adjusting the income thresholds can be filled by other sources of revenue. To gauge the opinion of older voters in New Mexico on this issue, AARP commissioned a survey of 801 registered voters ages 50 and older in the state. The survey measured their support or opposition to three broad proposals: completely eliminating the state tax on Social Security benefits, phasing out the tax over time, and increasing the income thresholds to be in line with inflation so that only higher income beneficiaries will have to pay this tax. The survey also tested their tolerance for possible revenue generating options. The survey was fielded in September 2021. For more information, please contact Jennifer Sauer at . For information on this issue in the state, please contact Joseph Sanchez at . Suggested citation: Sauer, Jennifer. AARP in New Mexico Survey of Registered Voters Ages 50+: Opinions on State Social Security Benefits Tax. Washington, DC: AARP Research, November 2021.