us-nm/stat
NMSA 1978, § 7-38-41 — Protested property taxes; suspense fund; refunds; interest
A.
Each county treasurer shall establish a fund to be known as the "property tax
suspense fund." The portion of any property taxes paid to the county treasurer that is
not admitted to be due and is the subject of a claim for refund shall be deposited in this
fund.
B.
The fund shall be invested in interest-earning securities, accounts or deposits
that are legal investments for county funds under the law and regulations of the
department of finance and administration. The county treasurer shall keep records of
interest earned by the investment of the fund.
C.
If a property owner's property taxes are reduced as a result of a decrease in
value of the property taxed, a change in the classification, a change in the allocation of
the value of the property to a particular governmental unit or granting of a claim for an
exemption ordered by a court after a claim for refund, the portion of the property taxes
in controversy found to be in excess of the amount legally due and paid shall be
refunded by the county treasurer to the property owner. The refund shall be made within
fifteen days after the county treasurer receives a copy of the final order relating to the
protest. The amount of property taxes in controversy found to be legally due and paid
shall be distributed to the appropriate governmental units in accordance with the
distribution regulations of the department of finance and administration. All payments
authorized under this section shall be made from the property tax suspense fund.
D.
In addition to the payments authorized under Subsection C of this section, the
county treasurer shall pay to the property owner and the governmental units their pro
rata share of interest earned by the protested taxes computed by applying the earned
interest rate of the fund to the principal amounts of refund and distribution for the period
of time from the date of payment into the fund until a date not more than thirty days prior
to the date the actual refund payment and distribution payment are made. Payments are
considered made on the date a refund payment is mailed or delivered to the property
owner and on the date a transfer occurs on the county treasurer's books showing a
distribution payment.
E.
The department of finance and administration may authorize the transfer of any
surplus interest accruing in the property tax suspense fund to the county general fund at
the close of the fiscal year.
Source: official text