No tax cut deal as Legislature nears finish line

SANTA FE, N.M. (AP) — The Democratic-controlled Legislature and Republican Gov. Susana Martinez have reached no deal on possible tax cuts as lawmakers approach the finish line of the 60-day legislative session.

Senate Finance Committee Chairman John Arthur Smith, a Deming Democrat, said Thursday that talks continue with the Martinez administration about proposals to reduce taxes to encourage economic development in the state.

But Smith said it's a difficult assignment with so little time left in the Legislature and because of concerns about the cost of tax cuts in coming years.

Lawmakers adjourn on Saturday.

The governor made business tax cuts a centerpiece of her legislative agenda. She proposed a reduction in the corporate income tax rate to 4.9 percent from 7.6 percent over several years.