Tax fights brewing over budget showdown

Gov. Bill Richardson and many of the Democrats in charge of state government say there's no way to get out of the state's budget mess without raising taxes.

Now, the question is which taxes are elected officials going to raise?

The governor has a task force looking into different proposals.

Here are a few of them that'll cost everyone, rich and poor.

Want to buy a new car? You could pay 1, 2, 3 percent or more.

How about filling up your gas tank? The state might include gas prices in the gross receipts tax rate.

None of that sits well with three Albuquerque consumers.

"That's kind of ridiculous," said Celeste Ehlers.

"I make zero money," said Cari Cain.

"I'm not happy about it; just not happy about it," said Phil Neils.

OK, how about taxes on the food you buy at the grocery store?

"That sucks," said Allison Wadduy of Albuquerque. "I can barely afford food as it is."

"We don't have much of income as it is," said Rebecca Miller of Albuquerque. "We have to pay for school. We have to pay for books. We have to pay for all our bills. Like really, more taxes? Really."

Then what about just junk food?

"Raising taxes on all food I think is just horrible," said Nick Sowko of Albuquerque. 'It affects everyone."

Taxes seem to fire up New Mexicans, but smoking is bad for you. So is drinking. Another possibility, increase the sin taxes and make them less appealing.

One in three people KRQE News 13 spoke with liked that idea.

"I'm not a fan," said Mike Rivas of Albuquerque.

Kari Convers of Albuquerque is. "I think it's a great idea," she said, "We need more money, and luxuries like that are the things that should be taxed."

Dirk Warner of Albuquerque disagreed.

"They know that people like to drink," he said. "They know that people who like to smoke are addicted. So they figure let's just put the screws to them."

There are 34 tax hikes on the table including a repeal of an income tax cut for the wealthy.

The Budget Balancing Task Force holds its next meeting from 1-5 p.m. Thursday at Expo New Mexico in Albuquerque. It also is offering analysis and taking comments on the task force Web site .

The recently concluded special session of the Legislature cut government spending and moved money around to cover part of the $650 million shortfall during the current budget year ending June 30.  A significant shortfall also is forecast for the 2011 fiscal year.

The regular session of the Legislature convenes in Santa Fe on Jan. 19.