Home Fire Recovery Tax Credit

Home Fire Recovery Income Tax Credit Application

Welcome to the Home Fire Recovery Income Tax Credit Application

This application is designed for homeowners in New Mexico whose primary residence was destroyed by a wildfire during the calendar years 2021 through 2023. If you have incurred expenses to rebuild or replace your home on the same property, you may be eligible for the Home Fire Recovery Income Tax Credit.

Qualified home expenditures must be incurred beginning May 15, 2024 and before January 1, 2030, and the taxpayer must have been certified for a home fire recovery income tax credit by the Regulation and Licensing Department to claim the credit.

Purpose of the Application

The purpose of this application is to allow you to apply for a tax credit of up to $50,000, based on the qualified expenditures you have incurred to construct or manufacture a new home in place of your wildfire-damaged residence.

By completing this application, you must provide necessary documentation to verify your eligibility for the tax credit, including proof of home destruction, construction expenses, and sworn statements. Once your application is reviewed and approved, you will receive a certificate of eligibility that you can use to claim the tax credit on your New Mexico state income tax return.

Eligibility Requirements

To qualify for this tax credit, you must:

• • • Be a taxpayer in New Mexico who is not claimed as a dependent on another individual’s tax return.
    • Have lost your primary residence to a wildfire between 2021 and 2023.
    • Have incurred expenses to rebuild or replace your home on the same property where your previous home was destroyed.

Please ensure that you have all the required documents ready before starting your application.

Documents required by not limited to:

• • • Proof of home destruction by wildfire (2021-2023)
    • Sworn statements from taxpayer and builder
    • Proof of expenditures for the construction on the home
    • Certificate of Occupancy
    • Final Inspection

If you have any questions or need assistance, please contact us at Homefiretaxcredit@rld.nm.gov.