New Mexico Property Taxes
New Mexico offers 2 property tax exemptions
· Head of Household for $2,000 a year
· Veterans’ exemption of $4,000 per year
These exemptions reduce the valuation of the property on which you pay taxes. You must apply for both of these exemptions and you can only have one head of household exemption if you own more than one home. Single people can get the head of household exemption as well.
Taxable value on real and personal property is one third of the total appraised value, minus any allowable exemptions, such as head-of-household or veteran's exemptions. Property in New Mexico is classified as residential or non-residential and is taxed at different rates.
Example Of Calculating Applicable Tax
District 02 : In the city limits of Las Cruces at 2009 residential tax rate of 0.027303
|
Full Value of Property |
Appraised Value |
$100,000 |
|
Calculate Taxable Value |
Appraised Value / 3
$100,000 / 3 |
$33,333 |
|
Subtract Exemptions
Head of Household = $2,000
Veterans Exemption = $4,000 |
Taxable Value - Total Exemptions
[$2,000+$4,000 = $6,000]
|
- $6,000 |
|
Net Taxable Value |
|
$27,333 |
|
Calculate Total Taxes Owed |
Net Taxable Value * Mil Rate
$27,333 * .027303 |
$746.27 |
Taxes are based on what you pay for a home coupled with the Assessors appraisal, not always the current taxes the seller is paying. When you close you will be required to sign a form that goes to the assessor telling him what you paid for the property.
It is this information coupled with the Assessor's own property appraisal that determines the homes taxable value. Appraisals are conducted every other year. Property tax increases are capped by law to 6.1% every 2 years or about 3% a year. When a property is sold the increase can be more than that due to the sale price.
Notes:Veterans can go to the courthouse and request a form to apply with their DD214. For more information on Veterans exemptions you can call the Veterans Service Commission in Santa Fe at 505-827-6300.
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