Section 7-1-17 - Assessment of tax; presumption of correctness. - New Mexico Statutes

7-1-17. Assessment of tax; presumption of correctness.

A.     If the secretary or the secretary's delegate determines that a taxpayer is liable for taxes in excess of twenty-five dollars ($25.00) that are due and that have not been previously assessed to the taxpayer, the secretary or the secretary's delegate shall promptly assess the amount thereof to the taxpayer.  

B.     Assessments of tax are effective: 

(1)     when a return of a taxpayer is received by the department showing a liability for taxes; 

(2)     when a document denominated "notice of assessment of taxes", issued in the name of the secretary, is mailed or delivered in person to the taxpayer against whom the liability for tax is asserted, stating the nature and amount of the taxes assertedly owed by the taxpayer to the state, demanding of the taxpayer the immediate payment of the taxes and briefly informing the taxpayer of the remedies available to the taxpayer; or 

(3)     when an effective jeopardy assessment is made as provided in the Tax Administration Act [7-1-1 NMSA 1978].  

C.     Any assessment of taxes or demand for payment made by the department is presumed to be correct.  

D.     When taxes have been assessed to any taxpayer and remain unpaid, the secretary or the secretary's delegate may demand payment at any time except as provided otherwise by Section 7-1-19 NMSA 1978.