In 2022, the New Mexico Legislature passed a bill and the Governor signed that eliminates taxes on Social Security benefits for individuals with less than $100,000 in annual income or couples with less than $150,000 in income, lowering taxes on retiree benefits. The New Mexico Legislature also passed a bill and the Governor signed a new bill creating a three-year income tax exemption for armed forces retirees, starting at $10,000 of military retirement income in 2022 and rising to $30,000 of retirement in the tax year 2024.