PROPERTY TAX AFFIDAVITS

HB0148

HOUSE BILL 148

57th legislature - STATE OF NEW MEXICO - second session, 2026

INTRODUCED BY

Patricia A. Lundstrom
and
Derrick J. Lente
and
Javier Martínez

and
Mark Duncan
and
Michael Padilla

AN ACT

RELATING TO PROPERTY TAX; AMENDING AND ENACTING SECTIONS OF THE
PROPERTY TAX CODE; REQUIRING AN AFFIDAVIT TO BE FILED WITH THE
COUNTY ASSESSOR FOR THE TRANSFER OF CERTAIN REAL PROPERTY;
EXCLUDING CERTAIN REAL PROPERTY TRANSFERS FROM THE REQUIREMENT
TO FILE AN AFFIDAVIT; PROVIDING TEMPORARY LIMITATIONS ON THE
VALUATION OF NONRESIDENTIAL PROPERTY; DECLARING AN EMERGENCY.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF NEW MEXICO:

SECTION 1.
A new section of the Property Tax Code,
Section 7-36-21.4 NMSA 1978, is enacted to read:

"7-36-21.4. [
NEW MATERIAL
] TEMPORARY LIMITATION ON
NONRESIDENTIAL PROPERTY VALUATION.--

A. Nonresidential property shall be valued at its
current and correct value in accordance with the provisions of
the Property Tax Code; provided that for the 2026 through 2036
tax years, the value of a property in any tax year shall not
exceed one hundred five percent of the value in the tax year
prior to the tax year in which the property is being valued.

B. The limitation on increases in value in
Subsection A of this section does not apply to:

(1) a nonresidential property in the first tax
year that the property is valued for property taxation
purposes;

(2) any increase of square footage of physical
improvements on a property during the year immediately prior to
the tax year or omitted in a prior tax year, except for
reproduction of physical improvements destroyed by a declared
state disaster or emergency; or

(3) valuation of a nonresidential property in
any tax year in which the use or zoning of the property has
changed in the year prior to the tax year.

C. As used in this section:

(1) "declared state disaster or emergency"
means a disaster or emergency event for which:

(a) a governor's state-of-emergency
proclamation has been issued; or

(b) a presidential declaration of a
federal major disaster or emergency has been issued; and

(2) "reproduction" means a new construction
structure that is a close or an exact copy of previously
existing physical improvements that have substantially similar
total square footage, living square footage and quality of
building materials that tends to replicate the previously
existing structure."

SECTION 2.
Section 7-38-12.1 NMSA 1978 (being Laws 2003,
Chapter 118, Section 2, as amended) is amended to read:

"7-38-12.1. [
RESIDENTIAL
]
REAL
PROPERTY TRANSFERS--AFFIDAVIT TO BE FILED WITH ASSESSOR.--

A. [
After January 1, 2004
] A transferor or the
transferor's authorized agent or a transferee or the
transferee's authorized agent presenting for recording with a
county clerk a deed, real estate contract or memorandum of real
estate contract transferring an interest in real property
[
classified as residential property
] for property taxation
purposes shall also file with the county assessor within thirty
days of the date of filing with the county clerk an affidavit
signed and completed in accordance with the provisions of
Subsection B of this section.

B. The affidavit required for submission shall be
in a form approved by the department and signed by the
transferors or their authorized agents or the transferees or
their authorized agents of any interest in [
residential
] real
property transferred by deed or real estate contract. The
affidavit shall contain only the following information to be
used only for analytical and statistical purposes in the
application of appraisal methods:

(1) the complete names of all transferors and
transferees;

(2) the current mailing addresses of all
transferors and transferees;

(3) the legal description of the real property
interest transferred as it appears in the document of transfer;

(4) the full consideration, including money or
any other thing of value, paid or exchanged for the transfer
and the terms of the sale, including any amount of seller
incentives; and

(5) the value and a description of personal
property that is included in the sale price.

C. Upon receipt of the affidavit required by
Subsection A of this section, the county assessor shall place
the date of receipt on the original affidavit and on a copy of
the affidavit. The county assessor shall retain the original
affidavit as a confidential record and as proof of compliance
and shall return the copy marked with the date of receipt to
the person presenting the affidavit. The assessor shall index
the affidavits in a manner that permits cross-referencing to
other records in the assessor's office pertaining to the
specific property described in the affidavit. The affidavit
and its contents are not part of the valuation record of the
assessor.

D. The affidavit required by Subsection A of this
section shall not be required for:

[
(1) a deed transferring nonresidential
property;

(2)
]
(1)
a deed that results from the payment
in full or forfeiture by a transferee under a recorded real
estate contract or recorded memorandum of real estate contract;

[
(3)
]
(2)
a lease of or easement on real
property, regardless of the length of term;

[
(4)
]
(3)
a deed, patent or contract for sale
or transfer of real property in which an agency or
representative of the United States
or
New Mexico or any
political subdivision of the state is the named grantor or
grantee and authorized transferor or transferee;

[
(5)
]
(4)
a quitclaim deed to quiet title or
clear boundary disputes;

[
(6)
]
(5)
a conveyance of real property
executed pursuant to court order;

[
(7)
]
(6)
a deed to an unpatented mining
claim;

[
(8)
]
(7)
an instrument solely to provide or
release security for a debt or obligation;

[
(9)
]
(8)
an instrument that confirms or
corrects a deed previously recorded;

[
(10)
]
(9)
an instrument between [
husband and
wife
]
married individuals
or parent and child with only nominal
actual consideration therefor;

[
(11)
]
(10)
an instrument arising out of a
sale for delinquent taxes or assessments;

[
(12)
]
(11)
an instrument accomplishing a
court-ordered partition;

[
(13)
]
(12)
an instrument arising out of a
merger or incorporation;

[
(14)
]
(13)
an instrument by a subsidiary
corporation to its parent corporation for no consideration,
nominal consideration or in sole consideration of the
cancellation or surrender of the subsidiary's stock;

[
(15)
]
(14)
an instrument from a person to a
trustee or from a trustee to a trust beneficiary with only
nominal actual consideration therefor;

[
(16)
]
(15)
an instrument to or from an
intermediary for the purpose of creating a joint tenancy estate
or some other form of ownership; [
or
]

[
(17)
]
(16)
an instrument delivered to
establish a gift or a distribution from an estate of a decedent
or trust;

(17) a deed, patent or contract for sale or
transfer of real property in which the property was valued
pursuant to Section 7-36-20 NMSA 1978 in the prior tax year; or

(18) an instrument delivered to convey solely
the mineral or subsurface estate of real property
.

E. The affidavit required by Subsection A of this
section shall not be construed to be a valuation record
pursuant to Section 7-38-19 NMSA 1978.

[
F. Prior to November 1, 2003, the department shall
print and distribute to each county assessor affidavit forms
for distribution to the public upon request.
]"

SECTION 3.
APPLICABILITY.--The provisions of this act
apply to property tax years beginning on or after January 1,
2026.

SECTION 4.
EMERGENCY.--It is necessary for the public
peace, health and safety that this act take effect immediately.

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