NH attorney general joins coalition asking federal government to secure the border

New Hampshire Attorney John M. Formella has joined a coalition of 27 attorneys general in a legal filing demanding the federal government fix “unlawful immigration policies” and secure the border.

More than 7 million immigrants have crossed the border illegally under the government’s current border policy, Formella said in a press release Tuesday.

“We are seeing a national security and public safety crisis unfold right before our eyes, and it stems directly from the federal government’s inability to secure the U.S. border,” Formella said in a statement.

“We cannot stand idly by as our immigration policies allow deadly fentanyl to keep pouring into our communities and criminal organizations continue to prey on the vulnerable by smuggling them into our nation illegally,” he said. “The Biden Administration must immediately change course to preserve the safety and security of New Hampshire and our entire country.”

The coalition of attorneys general submitted a Petition for Rulemaking to amend the Department of Homeland Security’s catch-and-release policies, stating the policies are unlawful and are impacting the security of the country.

“As the court found in Florida, DHS’s mass release policies have been ‘akin to posting a flashing ‘Come In, We’re Open’ sign on the southern border,’” the petition states.

Department of Revenue Administration develops guide to 2023 tax changes

The New Hampshire Department of Revenue Administration has created a comprehensive reference guide summarizing relevant tax modifications for 2023.

NHDRA outlines 15 bills in its Technical Information Release, including changes in the timeline for the phased elimination of the Interest & Dividends Tax and the allocation of funds to the Education Trust Fund.

“The NHDRA has developed a tax guide that provides businesses and individuals with a clear roadmap through the constantly evolving tax landscape,” said NHDRA Commissioner Lindsey Stepp in statement. “Our primary goal remains to keep the public well-informed about issues that directly impact them.”

Below are key legislative initiatives from the recent session. To access the complete report, please visit www.revenue.nh.gov/tirs.

Interest and Dividends Tax

House Bill 2 repeals the Interest and Dividends Tax effective taxable periods beginning after Dec. 31, 2024. This bill accelerates the timeline for the eventual phasing out of the I&D Tax that was enacted through Laws of 2021, Chapter 91, Sections 89 through 102. This legislation eliminates the prior law’s plans to reduce the tax rate to 2% in 2025 and 1% in 2026.

The Interest and Dividends Tax is 4% for taxable periods ending on or after December 31, 2023 and 3% for taxable periods ending on or after December 31, 2024. The I&D Tax is then repealed for taxable periods beginning after December 31, 2024. This bill also amends the effective date of the removal or repeal of references to the I&D tax in other state statutes.

Business Tax

Historically, the allocation of funds to the Education Trust Fund has been contingent upon tax rates for the Business Profits Tax and the Business Enterprise Tax. Any adjustments in tax rates had a corresponding effect on the allocated funds. Effective July 1, 2023, House Bill 2 establishes a fixed allocation, requiring 41% of the proceeds from both BPT and BET be directed to the Education Trust Fund, regardless of changes in tax rates.

Senate Bill 189 further amends the BPT by eliminating the limitation imposed through the Internal Revenue Code (IRC) SS163(j) on the New Hampshire deduction of business interest expense. This amendment is effective January 1, 2024.

Municipal and property 

House Bill 197 amends certain property tax exemptions by allowing a person eligible for a property tax exemption for the blind, disabled, deaf or severely hearing impaired, or elderly a prorated exemption amount if they own a fractional interest in the property. This provision does not need to be adopted by the municipalities and begins with the property tax year, April 1, 2024.

Miscellaneous

Senate Bill 52, in part, established a committee to study options to finance electric vehicle charging stations. This committee will evaluate various possibilities, including allocating funds from hospitality and dining taxes and encouraging businesses to invest through Business Enterprise or Business Profits Tax credits or by allowing local property tax exemptions.

 

McLane Middleton achieves DEI certification

The law firm of McLane Middleton has achieved certification under the Mansfield Rule, a national certification for law firms committed to diversity in their workforce and leadership.

The firm is the first law firm in the state of New Hampshire to receive the certification, the firm said in a news release.

The Mansfield Rule is a national initiative through Diversity Lab that helps close the gender and diversity gap in the legal profession. The rule measures law firms’ processes for considering women lawyers, lawyers of color, LGBTQ+ lawyers, and lawyers with disabilities for employment as well as leadership and governance roles and equity partner promotions.

“One of McLane Middleton’s core values is the belief that diversity, equity, and inclusion in our workforce makes us a better law firm by enhancing our capacity to develop innovative solutions for our clients, attract and retain the most talented colleagues, and contribute to all segments of the communities where we live and work,” said Steve Camerino, CEO of McLane Middleton, in a statement.