50-State Resource Pack · Free for veterans
Veteran Property Tax Exemption — New Mexico
New Mexico's Disabled Veteran Property Tax Exemption removes $40,000 of assessed value from your primary residence — and after a 2023 constitutional amendment, veterans with partial ratings finally get a slice too.
The rules in New Mexico
Who qualifies
Veterans with a 100% total and permanent service-connected disability (full $40,000 exemption); a 2023 constitutional amendment and implementing legislation extended partial exemptions to veterans with lesser (50%+) ratings. Surviving spouses qualify
Benefit
$40,000 off assessed value (New Mexico assesses at one-third of market value, so $40,000 assessed covers roughly $120,000 of market value); partial amounts for partial ratings under the expanded law
How to apply
File the veteran/disabled-veteran exemption application (NMDVS Form, e.g. Veterans Exemption DVS1) with your county assessor
Watch out
Taxation & Revenue reported 7,096 partially disabled veterans receiving the expanded exemption in a recent application window — the partial tier is real and new; confirm current amounts with your assessor
How it works
| Item | New Mexico |
Not yet rated? Start there
Every one of these programs hinges on a VA service-connected rating. If you have not filed a claim, that is the starting point — a free, VA-accredited VSO (DAV, American Legion, VFW) will file it for you at no cost. A higher rating unlocks not just property-tax relief but healthcare, income benefits, and — for business owners — SDVOSB contracting eligibility.
Sources
- New Mexico Department of Veteran Services — State Benefits — www.dvs.nm.gov/benefits/
- NMSA 1978 Section 7-37-5.1 — Disabled veteran exemption — law.justia.com/codes/new-mexico/chapter-7/article-37/section-7-37-5-1/
- NM Taxation & Revenue — Veterans Benefit from Expanded Property Tax Exemptions — www.tax.newmexico.gov/wp-content/uploads/2026/08/20260813_New-Mexico-Veterans-Be
Free resource — part of the VES 50-state pack for veterans and veteran-owned businesses. Educational information only, not legal or tax advice; programs change, so confirm current rules with your county before relying on them.
Want it filed for you?
We check your county's rules for free and, if you're eligible, prepare a ready-to-sign filing package for your New Mexico property — veteran to veteran. Or start with the full eligibility check.