Site Network: Santa Fe, NM | Las Vegas, NV | St. George, UT | More...

Retire Santa Fe

“The second oldest city in the country is positioned to emerge as a tech-driven 21st-century hot spot. Santa Fe feels like Silicon Valley felt like ten years ago.” --Wired Magazine

Tax and Economic Information

State income tax rate (highest bracket)
5.30%
State income tax rate (lowest bracket)
1.70%
Retirement tax break from state?
No
State property taxes
Below ave.
Sales tax
7.62%
State gas tax (cents per gallon)
17.0
City gross receipts tax
6.69%
County gross receipts tax
6.12%
Average annual property tax rate
5.0%
Ave prop. tax - 2,000-square-foot home
$1,200

New Mexico property tax rates vary substantially and depend on property type and location. The statewide weighted average rates, i.e., total obligations/total net taxable value, are about $26.47 per $1,000 for residential property and $29.80 per $1,000 for non-residential property. Taxable value is one-third of assessed value. NOTE: These property tax rates are for the 2005 tax year.

New Mexico assesses residences at market value. Assessors usually determine market value by the sales- comparison approach which matches a property’s value to that of similar properties. One-third of that amount is the taxable value, but taxable value may be further reduced by exemptions of $2,000 each for heads of household. The exemption for veterans is $4,000 for the 2006 tax year. Veterans who are totally and permanently disabled and who have remodeled their residences may qualify for a total exemption from property tax. Beginning in 2001, the assessed value of a residence that did not change hands in the prior year may not increase by more than 3% annually (excluding any increase due to physical changes to the property). This covers rental properties as well as owner-occupied residences.

Santa Fe has the lowest property tax of the ten largest cities in New Mexico.

In general, New Mexico does not tax personal property. Personal household effects, licensed vehicles, registered aircraft, certain personal property warehoused in the state, and business personal property not depreciated for federal income tax purposes are exempt from the property tax. Business personal property for which the owner has claimed depreciation is taxable.

New Mexico does provide a property tax break for older taxpayers. This rebate may be claimed annually on the personal income tax return. To qualify for the Property Tax Rebate, you must:

The property tax rebate may be claimed on form PIT-1-RC for the property tax billed or rent paid during the tax year on the claimant's principal place of residence in New Mexico. The rebate may not exceed $250 for married taxpayers filing jointly ($125 for married taxpayers filing separately or single taxpayers). Beginning with the 2001 property tax year the valuation of a single-family, owner-occupied residence whose owner is 65 years of age or older and who has a modified gross income of $18,000 or less cannot climb higher than its year 2001 valuation or its valuation in the year the owner reached his or her 65th birthday.

Cost of living index (ACCRA):

  Q2 - 2003 Q3 - 2003 Q4 - 2003 Q1 - 2004 Q2 - 2004
Composite Index
114.2
119.8
118.3
116.6
111.6
Housing
146.1
152.4
146.4
141.5
128.7
Groceries
103.3
115.7
103.2
110.6
111.5
Utilities
84.4
109.2
108.5
101.3
86.9
Transportation
99.4
100.4
107.1
104.4
108.0
Health Care
104.7
126.8
122.1
130.0
118.5
Goods/Services
105.5
101.1
106.1
103.1
103.6

*Information for this page was provided by the State of New Mexico Department of Taxation and Revenue

More information:

Santa Fe Real Estate | City of Santa Fe | Santa Fe Visitor Guide | Your link here

Related Links: