New Mexico Administrative Code › Title 3 - TAXATION › Chapter 6 - PROPERTY TAXES › Part 6 - PROVISIONS FOR IMPOSITION OF TAX - APPLICABILITY › Section 3.6.6.12 - VETERAN EXEMPTION

Current through Register Vol. 35, No. 13, July 16, 2024
A.
PROPERTY TAXES AUTHORIZED BY LAWS OUTSIDE THE PROPERTY TAX CODE AND
				SPECIAL BENEFIT ASSESSMENTS:
The veteran exemption applies to property
				taxes imposed by laws other than the Property Tax Code, such as the ad valorem
				tax on taxable property within a hospital district Section
				4-48A-16
				NMSA 1978 (1987); the property tax on taxable property within a college
				district Section
				21-2A-5
				NMSA 1978 (1995); the property tax on all property subject to taxation within a
				flood control district Section
				72-18-20 NMSA
				1978 (1986); and, the general ad valorem tax on all property subject to
				taxation within a solid waste authority Section
				74-10-27
				NMSA 1978 (1993). The veteran exemption is not effective against impositions of
				special benefit assessments authorized by laws outside the Property Tax Code,
				such as conservancy district assessments.
B.
APPLICATION OF VETERAN EXEMPTION -
				GENERAL:
(1) Husband and wife. Where
				both husband and wife are veterans within the meaning of Subsection C of
				Section
				7-37-5 NMSA
				1978, they may between them hold exempt property to the extent of
				$4,000.
(2) Military relationship.
(a) The veteran's exemption contained in
				Section
				7-37-5 NMSA
				1978 requires that claimant has been honorably discharged from membership in
				the armed forces of the United States. A person has been "honorably discharged"
				if he or she has been discharged and has not received either a dishonorable
				discharge or a discharge for misconduct.
(b) Any veteran who did not serve at least
				ninety (90) days at any time during any period in which the military forces
				were engaged in armed conflict is not entitled to the exemption; except that a
				person who would otherwise be entitled to the status as a veteran except for
				failure to have served in the armed forces continuously for ninety days is
				considered to have met that qualification if the person served for less than
				ninety days and the reason for not having served for that period was a
				discharge brought about by service-connected disablement.
(c) A veteran does not lose his or her right
				to a veteran's exemption by re-enlisting immediately after receiving his or her
				honorable discharge.
(3)
				Residency. Pursuant to Section
				7-37-5 NMSA
				1978, it is required that a person be a current New Mexico resident to qualify
				for the veteran's exemption.
(4)
				Veteran's interest in property.
(a) A veteran
				who qualifies under Section
				7-37-5 NMSA
				1978, who is a life tenant of real estate, is entitled to exemption on taxation
				on the property in which the veteran is a life tenant.
(b) A veteran cannot claim exemption from
				taxation on land where the veteran holds no title to the land, either legal or
				equitable.
(c) If a veteran
				entitled to claim the exemption owns property on January 1, it remains exempt
				even though the veteran sells it during the year.
(d) In a joint tenancy in which one of the
				tenants is a veteran, if the share of a veteran's property is of the value of
				$2,000 or more, the veteran's share is entitled to the full $2,000
				exemption.
(e) A veteran who has
				purchased property on an executory contract with legal title remaining in
				escrow pending the final payment under the purchase contract is the beneficial
				owner of the property and is the owner for purposes of taxation and may apply
				the exemption to the property.
(f)
				A veteran cannot claim exemption from taxation for his or her spouse's separate
				property or his or her spouse's portion of community property.
(g) A veteran cannot claim exemption from
				taxation when the veteran is one of the partners in a partnership, and the
				partnership owns the property on which the exemption is claimed.
(5) Surviving spouse.
(a) A resident unmarried surviving spouse of
				a veteran who died in service is entitled to the veteran's exemption.
(b) If a veteran's surviving spouse remarries
				and thereafter obtains a divorce from the subsequent spouse, he or she does not
				revert to the status of an unmarried surviving spouse entitled to claim the
				exemption.
(c) A surviving spouse
				of an eligible veteran is not, if a subsequent marriage is annulled, entitled
				to the exemption.
(d) An unmarried
				surviving spouse of a deceased veteran who is also a veteran may receive a tax
				exemption as veteran and also as a surviving spouse of a veteran.
(e) An unmarried surviving spouse of a
				veteran who at the time of the veteran's death was legally separated from the
				veteran is entitled to the exemption.