A. Any resident who has attained the age of sixty-five and files an individual New Mexico income tax return and is not a dependent of another individual may claim a tax rebate for the taxable year for which the return is filed. The tax rebate shall be the amount of property tax due on the resident’s principal place of residence for the taxable year that exceeds the property tax liability indicated by the table in Subsection F or G, as appropriate, of this section, based upon the taxpayer’s modified gross income.

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Terms Used In New Mexico Statutes 7-2-18

  • Dependent: A person dependent for support upon another.

B. Any resident otherwise qualified under this section who rents a principal place of residence from another person may calculate the amount of property tax due by multiplying the gross rent for the taxable year by six percent. The tax rebate shall be the amount of property tax due on the taxpayer’s principal place of residence for the taxable year that exceeds the property tax liability indicated by the table in Subsection F or G, as appropriate, of this section, based upon the taxpayer’s modified gross income.

C. As used in this section, “principal place of residence” means the resident’s dwelling, whether owned or rented, and so much of the land surrounding it, not to exceed five acres, as is reasonably necessary for use of the dwelling as a home and may consist of a part of a multidwelling or a multipurpose building and a part of the land upon which it is built.

D. No claim for the tax rebate provided in this section shall be allowed a resident who was an inmate of a public institution for more than six months during the taxable year or who was not physically present in New Mexico for at least six months during the taxable year for which the tax rebate could be claimed.

E. A husband and wife who file separate returns for a taxable year in which they could have filed a joint return may each claim only one-half of the tax rebate that would have been allowed on a joint return.

F. For taxpayers whose principal place of residence is in a county that does not have in effect for the taxable year a resolution in accordance with Subsection J of this section, the tax rebate provided for in this section may be claimed in the amount of the property tax due each taxable year that exceeds the amount shown as property tax liability in the following table:

ELDERLY HOMEOWNERS’ MAXIMUM PROPERTY TAX LIABILITY TABLE Taxpayers’ Modified Gross Income                         Property Tax Liability Over                                 But Not Over $ 0                                 $ 1,000                                        $ 20 1,000                                     2,000                                         25 2,000                                     3,000                                         30 3,000                                     4,000                                         35 4,000                                     5,000                                         40 5,000                                     6,000                                         45 6,000                                     7,000                                         50 7,000                                     8,000                                         55 8,000                                     9,000                                         60 9,000                                 10,000                                         75 10,000                                 11,000                                         90 11,000                                 12,000                                         105 12,000                                 13,000                                         120 13,000                                 14,000                                         135 14,000                                 15,000                                         150 15,000                                 16,000                                        180.

G. For taxpayers whose principal place of residence is in a county that has in effect for the taxable year a resolution in accordance with Subsection J of this section, the tax rebate provided for in this section may be claimed in the amount of the property tax due each taxable year that exceeds the amount shown as property tax liability in the following table:

ELDERLY HOMEOWNERS’ MAXIMUM PROPERTY TAX LIABILITY TABLE Taxpayers’ Modified Gross Income                         Property Tax Liability Over                                 But Not Over $ 0                                 $ 1,000                                        $ 20 1,000                                     2,000                                         25 2,000                                     3,000                                         30 3,000                                     4,000                                         35 4,000                                     5,000                                         40 5,000                                     6,000                                         45 6,000                                     7,000                                         50 7,000                                     8,000                                         55 8,000                                     9,000                                         60 9,000                                 10,000                                         75 10,000                                 11,000                                         90 11,000                                 12,000                                         105 12,000                                 13,000                                         120 13,000                                 14,000                                         135 14,000                                 15,000                                         150 15,000                                 16,000                                         165 16,000                                 17,000                                         180 17,000                                 18,000                                         195 18,000                                 19,000                                         210 19,000                                 20,000                                         225 20,000                                 21,000                                         240 21,000                                 22,000                                         255 22,000                                 23,000                                         270 23,000                                 24,000                                         285 24,000                                 25,000                                        300.

H. If a taxpayer’s modified gross income is zero, the taxpayer may claim a tax rebate based upon the amount shown in the first row of the appropriate table. The tax rebate provided for in this section shall not exceed two hundred fifty dollars ($250) per return, and, if a return is filed separately that could have been filed jointly, the tax rebate shall not exceed one hundred twenty-five dollars ($125). No tax rebate shall be allowed any taxpayer whose modified gross income exceeds sixteen thousand dollars ($16,000) for taxpayers whose principal place of residence is in a county that does not have in effect for the taxable year a resolution in accordance with Subsection J of this section and twenty-five thousand dollars ($25,000) for all other taxpayers.

I. The tax rebate provided for in this section may be deducted from the taxpayer’s New Mexico income tax liability for the taxable year. If the tax rebate exceeds the taxpayer’s income tax liability, the excess shall be refunded to the taxpayer.

J. The board of county commissioners may adopt a resolution authorizing otherwise qualified taxpayers whose principal place of residence is in the county to claim the rebate provided by this section in the amounts set forth in Subsection G of this section. The resolution must also provide that the county will reimburse the state for the additional amount of tax rebates paid to such taxpayers over the amount that would have been paid to such taxpayers under Subsection F of this section. The resolution may apply to one or more taxable years and shall specify the period of time for which the rebate provided by this section may be claimed by qualified taxpayers. The county must adopt the resolution and notify the department of the adoption by no later than September 1 of the taxable year to which the resolution first applies. The department shall determine the additional amounts paid to taxpayers of the county for each taxable year and shall bill the county for the amount at the time and in the manner determined by the department. If the county fails to pay any bill within thirty days, the department may deduct the amount due from any amount to be transferred or distributed to the county by the state, other than debt interceptions.