Functions of the Office of the County Assessors
The Office of the County Assessor is the mechanism that is used by the property tax program to distribute the tax burden approved by taxing authorities correctly and equitably to all taxable property in that authority based on its value. That is why it is imperative that the Office of the County Assessor be funded and equipped appropriately to accomplish this ethical and equitable mandate.
The Assessor: Accepts and processes reports from property owner (7-38-8) discovers, lists, and values residential, commercial, vacant, and business personal property for ad valorum (based on value) tax purposes. Notifies property owners of their assessed property values. Defends the value placed on taxable property before the Protest Board, District Court and other quasi-judicial bodies. Prepares the property tax roll for the County Treasurer. The Office of the County Assessor also performs all of the administrative and supportive duties that must be achieved to accomplish our overall mission.
No. The County Commission has no superintending authority over the Assessor. Only the Taxation and Revenue Department may generally direct the Assessor's activities, but the County Commission does have authority and are required to appropriate a reasonable budget for the Office of the County Assessor to comply with the statutory mandates.
The Office of the Santa Fe County Assessor is evaluated yearly by the Taxation and Revenue Department and audited annually by the County's outside independent auditor. The County Assessor's functions may be suspended in part or in whole by the Taxation and Revenue Department for non-compliance with the Property Tax Code.
No all taxable property must be valued in compliance with the property tax code and the professional mass appraisal standards. The Assessor and all employees are subject to disciplinary action, job loss and criminal prosecution for unlawfully altering any value. The property owner is also subject to criminal prosecution for knowingly attempting to avoid the payment of the Property Tax. All values that are lowered are audited and must have evidence and supporting documentation that support the new lower value.
Land Splits and Combinations
Yes. All outstanding taxes on the property must be paid in full before the Treasurer's Office will issue a County Certification of Taxes Paid.
Under 7-37-7 NMSA 1978, the property owner of record on January 1 of each tax year is liable for the taxes assessed for that year. Failure to pay property taxes will result in a tax lien being attached to the property, regardless of any ownership changes after January 1 of the tax year.
Valuation of Property
New Mexico State Statutes 7-38-8 NMSA 1978 require owners of real property, tangible movable business property, and/or manufactured homes to report new purchases and declare any change their property has undergone within the past year. The due date for the report is the last day in February of the year for which taxes are collected.
For residential properties the property owner is also required to file with the Office of the County Assessor the sales affidavit of the newly acquired property. Do not rely on your Title Company or the County Clerk to forward this information to the Office of the County Assessor it is your responsibility.
Under state law, the Assessor is required to value all property at 100 percent of its market value, as determined by the sales of comparable properties (see 7-36-15 NMSA 1978).
Yes. As a property owner in New Mexico you have the responsibility to report your property to the Office of the County Assessor when you become the owner (7-38-8). You will also be required to submit the purchase price of the residence you purchase to the Office of the County Assessor thru an affidavit. Do not rely on title companies and other third party's to make these reports to the Office of the County Assessor for you. This will ensure that all Notices of Value and Tax Bills are sent to the correct address so that you may challenge your value and pay your taxes on time. Remember however that if you become the new owner of a pre-existing residence the value of your property for that year will not be subject to the value cap (discussed later) and the Assessor is obligated by statute to appraise it at current and correct market levels which could be a substantial increase in value from previous years.
The Notice of Value is a document that provides key information about your property, including the value that the Office of the County Assessor has determined for property tax purposes. It also includes details such as the property's ownership, class (e.g., residential, commercial, vacant), and any exemptions, deductions, or value freezes that have been applied for and granted on the property. In addition, for residential properties, it shows the adjusted value according to the value cap law.
This notice is mailed to you in April. If you believe any of the information is incorrect, you must report it to the County Assessor’s Office and, if necessary, file a timely protest within 30 days of the mailing date. If you do not receive a Notice of Value, you should also contact the County Assessor’s Office to report your property.
New Mexico’s 3% property value cap law, implemented in 2001, was designed to protect homeowners from significant increases in property taxes due to rapidly rising market values. The law limits the annual increase in the taxable value of residential properties to no more than 3% per year, even if the market value increases by more than that. This cap helps prevent long-time homeowners from facing large tax hikes, especially during periods of rapid market growth.
However, if a property is sold, the previous owner’s 3% cap is removed, and the property is reassessed at market value. The new owner will be taxed based on the new market value, and the 3% cap will then apply to the reassessed value moving forward.
The 3% cap can also be removed if the property undergoes significant improvements, is placed on the tax roll for the first time, or experiences classification change and/or zoning changes. In these cases, the property is reassessed at market value, and the 3% cap will be applied to the new assessed value.
This system ensures that property taxes are fair and equitable while maintaining stability for homeowners. Assessors aim to provide accurate valuations and fairness in the process.
When distinguishing between residential and non-residential properties, it’s important to understand the specific definition provided by the Property Tax Code and NMSA 7-35-2(K). According to the statute:
“Residential property” means property consisting of one or more dwellings together with appurtenant structures, the land underlying both the dwellings and the appurtenant structures, and a quantity of land reasonably necessary for parking and other uses that facilitate the use of the dwellings and appurtenant structures. As used in this subsection, “dwellings” includes both manufactured homes and other structures when used primarily for permanent human habitation, but the term does not include structures when used primarily for temporary or transient human habitation such as hotels, motels and similar structures.
In contrast, non-residential properties are not eligible for the 3% annual valuation limitation that applies to residential properties. Instead, the value of non-residential properties is assessed at market value each year. Non-residential properties also do not qualify for any residential exemptions or benefits. Additionally, non-residential properties are taxed at a different rate than residential properties.