- Associated Press - Sunday, June 14, 2015

SANTA FE, N.M. (AP) - Santa Fe and Espanola are suing Santa Fe County as well as the state to stop a tax hike from taking effect next month.

The Santa Fe New Mexican reports (https://bit.ly/1ICB8UD) that the two city governments and several Espanola businesses have joined in the lawsuit over a county gross receipts tax.

The suit, which was filed Thursday in state District Court in Santa Fe, says the increase would lead to a “tax disincentive for businesses to locate or expand” in parts of the county.

A 2013 state tax package allows local governments to impose a higher gross-receipts tax rate within their jurisdictions.

The two cities claim the new tax doesn’t apply within their boundaries. They say county ordinances should only apply to unincorporated areas belonging to the county.

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Information from: The Santa Fe New Mexican, https://www.sfnewmexican.com


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