us-nm/stat
NMSA 1978, § 7-1-68 — Interest on overpayments
A.
As provided in this section, interest shall be allowed and paid on the amount of
tax overpaid by a person that is subsequently refunded or credited to that person.
B.
Interest on overpayments of tax shall accrue and be paid at the underpayment
rate established pursuant to Section 6621 of the Internal Revenue Code, computed on a
daily basis; provided that if a different rate is specified by a compact or other interstate
agreement to which New Mexico is a party, that rate shall apply to amounts due under
the compact or other agreement.
C.
Unless otherwise provided by this section, interest on an overpayment not arising
from an assessment by the department shall be paid from the date of the claim for
refund until a date preceding by not more than thirty days the date of the credit or refund
to any person; and interest on an overpayment arising from an assessment by the
department shall be paid from the date of overpayment until a date preceding by not
more than thirty days the date of the credit or refund to any person.
D.
No interest shall be allowed or paid with respect to an amount credited or
refunded if:
(1) the amount of interest due is less than one dollar ($1.00);
(2) the credit or refund is made within:
(a) fifty-five days of the date of the complete claim for refund of income tax,
pursuant to either the Income Tax Act [Chapter 7, Article 2 NMSA 1978] or the
Corporate Income and Franchise Tax Act [Chapter 7, Article 2A NMSA 1978] for the tax
year immediately preceding the tax year in which the claim is made;
(b) sixty days of the date of the complete claim for refund of any tax not
provided for in this paragraph;
(c) seventy-five days of the date of the complete claim for refund of gasoline
tax to users of gasoline off the highways;
(d) one hundred twenty days of the date of the complete claim for refund of
tax imposed pursuant to the Resources Excise Tax Act [Chapter 7, Article 25 NMSA
1978], the Severance Tax Act [7-26-1 to 7-26-8 NMSA 1978], the Oil and Gas
Severance Tax Act [Chapter 7, Article 29 NMSA 1978], the Oil and Gas Conservation
Tax Act [Chapter 7, Article 30 NMSA 1978], the Oil and Gas Emergency School Tax Act
[Chapter 7, Article 31 NMSA 1978], the Oil and Gas Ad Valorem Production Tax Act
[Chapter 7, Article 32 NMSA 1978], the Natural Gas Processors Tax Act [Chapter 7,
Article 33 NMSA 1978] or the Oil and Gas Production Equipment Ad Valorem Tax Act
[Chapter 7, Article 34 NMSA 1978]; or
(e) one hundred twenty days of the date of the complete claim for refund of
income tax, pursuant to the Income Tax Act or the Corporate Income and Franchise Tax
Act, for any tax year more than one year prior to the year in which the claim is made;
(3) Sections 6611(f) and 6611(g) of the Internal Revenue Code, as those
sections may be amended or renumbered, prohibit payment of interest for federal
income tax purposes;
(4) the credit results from overpayments found in an audit of multiple reporting
periods and applied to underpayments found in that audit or refunded as a net
overpayment to the taxpayer pursuant to Section 7-1-29 NMSA 1978;
(5) the department applies the credit or refund to an intercept program, to the
taxpayer's estimated payment prior to the due date for the estimated payment or to
offset prior liabilities of the taxpayer pursuant to Subsection E of Section 7-1-29 NMSA
1978;
(6) the credit or refund results from overpayments the department finds
pursuant to Subsection F of Section 7-1-29 NMSA 1978 that exceed the refund claimed
by the taxpayer on the return; or
(7) the refund results from a tax credit pursuant to the Investment Credit Act
[Chapter 7, Article 9A NMSA 1978], Laboratory Partnership with Small Business Tax
Credit Act [Chapter 7, Article 9E NMSA 1978], Technology Jobs and Research and
Development Tax Credit Act [Chapter 7, Article 9F NMSA 1978], Film Production Tax
Credit Act [Chapter 7, Article 2F NMSA 1978], Affordable Housing Tax Credit Act
[Chapter 7, Article 9I NMSA 1978] or a rural job tax credit or high-wage jobs tax credit.
E.
Nothing in this section shall be construed to require the payment of interest upon
interest.
Source: official text