A. All property owned or leased and used by an operating railroad in its operation if the operating railroad has operations in New Mexico is subject to valuation for property taxation purposes and shall be valued in accordance with the provisions of this section, except for land and land rights other than operating railroad rights-of-way, sidings and marshalling yards and general buildings and improvements determined not to be an active part of an operating railroad.
B. The division shall value operating railroad property using the following methods of valuation and applying the unit rule of appraisal to the property:
(1) capitalization of earnings;
(2) market value of stock and debt; or
(3) original cost less depreciation and obsolescence.
C. The division may use one or more, or a combination of, the methods of valuation specified in Paragraphs (1), (2) and (3) of Subsection B of this section in valuing operating railroad property.
D. Land, land rights other than operating railroad rights-of-way, sidings and marshalling yards, general buildings and improvements determined not to be an active part of an operating railroad shall be valued under the provisions of this article of the Property Tax Code applicable to the property.
E. The division shall adopt regulations providing for the allocation of net taxable values of operating railroad property to New Mexico and to the governmental units within the state.
F. The division shall adopt regulations pursuant to Section 7-38-88 NMSA 1978 [repealed] to implement the methods of valuation for operating railroad property specified in this section.
History: Laws 1973, ch. 258, § 32; 1953 Comp., § 72-29-20; Laws 1985, ch. 109, § 7.
Bracketed material. — The bracketed material was inserted by the compiler and is not part of the law. Laws 1991, ch. 166, § 14 repealed 7-38-88 NMSA 1978, referred to in Subsection F. For present comparable provisions, see 9-11-6.2 NMSA 1978.
Cross references. — For tax levied in lieu of property taxes on railroad car companies, see 7-11-3 NMSA 1978.
Am. Jur. 2d, A.L.R. and C.J.S. references. — 71 Am. Jur. 2d State and Local Taxation §§ 402 to 405.
84 C.J.S. Taxation § 221 et seq.
Structure New Mexico Statutes
Article 36 - Valuation of Property
Section 7-36-1 - Provisions for valuation of property; applicability.
Section 7-36-2.1 - Classification of property.
Section 7-36-3.1 - Metropolitan redevelopment property; tax status of lessee's interests.
Section 7-36-3.2 - Enterprise zone property; tax status of lessee's interests.
Section 7-36-7 - Property subject to valuation for property taxation purposes.
Section 7-36-8 - Tangible personal property exempt from property tax; exceptions.
Section 7-36-14 - Taxable situs; allocation of value of property.
Section 7-36-15 - Methods of valuation for property taxation purposes; general provisions.
Section 7-36-18 - Collection and publication of property valuation data.
Section 7-36-20 - Special method of valuation; land used primarily for agricultural purposes.
Section 7-36-21 - Special method of valuation; livestock.
Section 7-36-21.2 - Limitation on increases in valuation of residential property.
Section 7-36-22 - Mineral property; definitions and classifications for valuation purposes.
Section 7-36-26 - Special method of valuation; manufactured homes.
Section 7-36-30 - Special methods of valuation; property that is part of a communications system.
Section 7-36-31 - Special method of valuation; operating railroad property.
Section 7-36-32 - Special method of valuation; commercial aircraft.
Section 7-36-33 - Special method of valuation; certain industrial and commercial personal property.