New Mexico SB 116: DISCRETIONARY PROPERTY TAX REBATE HEARINGS

Bill Text

SB0116 

SENATE BILL 116

54th legislature - STATE OF NEW MEXICO - first session, 2019

INTRODUCED BY

Pat Woods

AN ACT

RELATING TO TAXATION; ALLOWING A COUNTY TO DETERMINE IF A 
PUBLIC HEARING SHOULD BE CONDUCTED ON WHETHER A PROPERTY TAX 
REBATE SHOULD BE MADE AVAILABLE THROUGH ADOPTION OF A COUNTY 
ORDINANCE.

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

 SECTION 1. Section 7-2-14.3 NMSA 1978 (being Laws 1994, 
Chapter 111, Section 1, as amended) is amended to read:

 "7-2-14.3. TAX REBATE OF PART OF PROPERTY TAX DUE FROM 

LOW-INCOME TAXPAYER--LOCAL OPTION--REFUND.--

 A. The tax rebate provided by this section may be 
claimed for the taxable year for which the return is filed by 
an individual who:

 (1) has [his] the principal place of residence 
in a county that has adopted an ordinance pursuant to 
Subsection G of this section;

 (2) is not a dependent of another individual;

 (3) files a return; and

 (4) incurred a property tax liability on [his] 
the principal place of residence in the taxable year.

 B. The tax rebate provided by this section shall be 
allowed for any individual eligible to claim the refund 
pursuant to Subsection A of this section and who:

 (1) was not an inmate of a public institution 
for more than six months during the taxable year;

 (2) was physically present in New Mexico for at 
least six months during the taxable year for which the rebate 
is claimed; and

 (3) is eligible for the rebate as a low-income 
property taxpayer in accordance with the provisions of 
Subsection D of this section.

 C. [A husband and wife] Married individuals who 
file separate returns for the 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 [the] a joint 
return.

 D. As used in the table in this subsection, 
"property tax liability" means the amount of property tax 
resulting from the imposition of the county and municipal 
property tax operating impositions on the net taxable value of 
the taxpayer's principal place of residence calculated for the 
year for which the rebate is claimed. The tax rebate provided 
in this section is as specified in the following table:

 LOW-INCOME TAXPAYER'S PROPERTY TAX REBATE TABLE

Taxpayer's Modified Gross Income Property Tax Rebate But Not

Over Over

$ 0 $ 8,000 75% of property tax liability

 8,000 10,000 70% of property tax liability

10,000 12,000 65% of property tax liability

12,000 14,000 60% of property tax liability

14,000 16,000 55% of property tax liability

16,000 18,000 50% of property tax liability

18,000 20,000 45% of property tax liability

20,000 22,000 40% of property tax liability

22,000 24,000 35% of property tax liability.

 E. If a taxpayer's modified gross income is zero, 
the taxpayer may claim a tax rebate in the amount shown in the 
first row of the table. The tax rebate provided for in this 
section shall not exceed three hundred fifty dollars ($350) per 
return and, if a return is filed separately that could have 
been filed jointly, the tax rebate shall not exceed one hundred 
seventy-five dollars ($175). No tax rebate shall be allowed 
any taxpayer whose modified gross income exceeds twenty-four 
thousand dollars ($24,000).

 F. 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.

 G. In January of every odd-numbered year in which a 
county does not have in effect an ordinance adopted pursuant to 
this subsection, the board of county commissioners of the 
county [shall] may conduct a public hearing on the question of 
whether the property tax rebate provided in this section 
benefiting low-income property taxpayers in the county should 
be made available through adoption of a county ordinance. 
Notice of the public hearing shall be published once at least 
two weeks prior to the hearing date in at least one newspaper 
of general circulation in the county and broadcast at some time 
within the week before the hearing on at least one radio 
station with substantial broadcasting coverage in the county. 
At the public hearing, the board shall take action on the 
question and if a majority of the members elected votes to 
adopt an ordinance, it shall be adopted no later than thirty 
days after the public hearing.

 H. An ordinance adopted pursuant to Subsection G of 
this section shall specify the taxable years to which it is 
applicable. The board of county commissioners adopting an 
ordinance shall notify the department of the adoption of the 
ordinance and furnish a copy of the ordinance to the department 
no later than September 1 of the first taxable year to which 
the ordinance applies.

 I. No later than December 31 of the year 
immediately following the first year in which the low-income 
taxpayer property tax rebate prov