ALBUQUERQUE, N.M. (KRQE) — There are proposals for targeted tax breaks being floated in the Roundhouse: one of them is for diaper sales. Sponsors of House Bill 222 claimed families typically spend $1,000 per year on diapers.
“It is pretty dire for families who are living quite on the lines because you can’t use your federal money on WIC and SNAP, so we’re hoping that even just a small reduction will allow people to not have to ration their diaper supply,” said Santa Fe County Clerk Katharine Clark.
According to Clark, the bill is nine years in the making. She said, in the tax code, adult diapers are not taxed and are considered medical devices, but children’s diapers are taxed.
Sponsors of the bill said, with an average cost of $80 dollars for diapers in a month, this tax break would save each family $5 a month per child.
“For the families that we’re trying to target, the $5 actually would make a difference to buy other things. People living, you know, less than paycheck to paycheck, and that’s really who we’re trying to reach with this,” explained Representative Joshua Hernandez, (R-Rio Rancho), one of the sponsors of this bill.
An analysis of this bill said diaper sales in New Mexico are expected to hit nearly $50 million this year. Estimates show taxes on diapers generate anywhere from $6-$14 million annually for cities, counties, and the state.
This bill was tabled because the definition of “diapers” doesn’t distinguish between disposable and reusable diapers.