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RPD-41327                   State of New Mexico  -  Taxation and Revenue Department
Rev. 04/11/2016
                               SUSTAINABLE BUILDING TAX CREDIT APPROVAL
Purpose of This Form. This form is required to be completed and submitted to the Taxation and Revenue Department to obtain approval 
for the sustainable building tax credit. After approval, this form is returned to the owner or the holder who may begin claiming the credit. 
Complete Section I and, if applicable, Section II. Mark the box to certify the statement, sign, date, and attach a copy of the certificate of eli-
gibility for the Sustainable Building Tax Credit issued by the New Mexico Energy, Minerals and Natural Resources Department (EMNRD). 
Mail to New Mexico Taxation and Revenue Department, Edit Error, P.O. Box 5418, Santa Fe, NM 87502-5418. For assistance completing 
this form, call (505) 827-0792.
            Name of owner of the qualifying sustainable building                  Social security number or federal employer identification number 

            Mailing address                                           City, state and ZIP code

            Name of contact                                          Phone number                Email address
                                                                                                  
            Certified statement of the building owner: 
             Mark the box to certify this statement and receive this credit. I certify that I have not and will not claim the solar market 
             development tax credit, pursuant to Section 7-2-18.14 NMSA 1978, for any solar thermal system or photovoltaic system installed in 
SECTION I    the sustainable building that was used as a component for qualification for the energy requirements or rating system certification 
             level used in determining eligibility for the sustainable building tax credit for which I have been approved. 
            Under penalty of perjury, I certify that I have examined this form and attachments, and to the best of my knowledge and 
            belief it is true, correct, and complete. I have also marked the box above to certify the statement and receive the credit.    

            Signature of building owner                                                           Date 
            Holder, if other than eligible building owner. If the qualifying sustainable building is owned by a partnership or other busi-
            ness association the owner may pass the credit to its member(s), partners(s), shareholder(s), or beneficiary(ies) by completing 
            Section II, and submitting a Form RPD-41327, Sustainable Building Tax Credit Approval, for each member, partner, shareholder, 
            or beneficiary. Members, partners, shareholders, and beneficiaries may claim a credit only in proportion to their interest in the 
            partnership or other business association, and will be issued an approval for their portion of the credit. 
             Name of holder if other than building owner                          Social security number or federal employer identification number 

            Mailing address                                           City, state, and ZIP code

            Name of contact                              Phone number
                                                                                  Percentage of ownership interest in the 
                                                                                  partnership or other business association

SECTION II  Certified statement of the holder, if other than building owner:
             Mark the box to certify this statement and receive this credit. I certify that I have not and will not claim the solar market 
             development tax credit pursuant to Section 7-2-18.14 NMSA 1978, for any solar thermal system or photovoltaic system installed 
             in the sustainable building that was used as a component of qualification for the energy requirements or rating system certification 
             level used in determining eligibility for the sustainable building tax credit for which I have been approved. 
            Under penalty of perjury, I certify that I have examined this form and attachments, and to the best of my knowledge and 
            belief it is true, correct and complete. I have also marked the box above to certify the statement and receive the credit.    
            Signature of holder, if other than building owner                                     Date 
                            TO BE COMPLETED BY THE TAXATION AND REVENUE DEPARTMENT
             Credit number:             First eligible tax year:      Approved amount of sustainable building tax credit: 

             Sustainable building tax credit is approved as submitted.

             Sustainable building tax credit is not approved. See the attached explanation.

SECTION III  Sustainable building tax credit is approved, but the amount of the credit has been adjusted. See the attached 
             explanation. 
            Signature of Secretary or authorized delegate: __________________________    Date: ____________________  

            Name (please print):_____________________________________               Title: _______________________________

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RPD-41327          State of New Mexico  -  Taxation and Revenue Department
Rev. 04/11/2016
                            SUSTAINABLE BUILDING TAX CREDIT APPROVAL
                                                                                                         Page 1 of 5

ABOUT THIS CREDIT                                                these instructions.
The purpose of the  sustainable building tax credit is 
to encourage the construction of sustainable buildings           Installation of a solar thermal system or a photovoltaic 
and the renovation of existing buildings into sustainable        system  eligible  for  the  solar  market  development  tax 
buildings. For tax years ending on or before December 31,        credit pursuant to Section 7-2-18.14 NMSA 1978, may 
2016, the sustainable building tax credit is available for the   not be used as a component of qualification for the rating 
construction in New Mexico of a sustainable building, for        system certification level used in determining eligibility for 
the renovation of an existing building in New Mexico into        the sustainable building tax credit, unless a solar market 
a sustainable building, or for the permanent installation of     development tax credit has not been claimed with respect 
manufactured housing in New Mexico, regardless of where          to that system and the building owner and the taxpayer 
the housing is manufactured, that is a sustainable building.     claiming the sustainable building tax credit certify that such 
                                                                 a tax credit will not be claimed with respect to that system.
For tax years beginning on or after January 1, 2017, 
but ending on or before December 31, 2026, the new 
                                                                 Obtaining the Certificate of Eligibility
sustainable building tax credit is available for the 
                                                                 The owner of the building must first obtain a certificate 
construction  in  New  Mexico  of  a  sustainable  building, 
                                                                 of eligibility for the sustainable building tax credit from 
the renovation of an existing building in New Mexico into 
                                                                 EMNRD after the construction, installation, or renovation 
a sustainable building, or for the permanent installation 
                                                                 of sustainable building is complete. EMNRD determines 
of manufactured housing in New Mexico, regardless of 
                                                                 whether the building meets the requirements as a 
where the housing is manufactured, that is a sustainable 
                                                                 sustainable residential or sustainable commercial building 
building. See From RPD-41382, New Sustainable Building 
                                                                 and verifies the certification level awarded for the building. 
Tax Credit Approval, for details.
                                                                 If approved, EMNRD issues the building owner a certificate 
The credit is available to the building owner of residential 
                                                                 of  eligibility. The  certificate  includes  the  rating  system 
and commercial buildings, after the construction, 
                                                                 certification level awarded to the building, the amount of 
installation, or renovation of the sustainable building is 
                                                                 qualified occupied square footage in the building, and a 
complete. To be eligible, the building owner must obtain a 
                                                                 calculation of the maximum amount of sustainable building 
certificate of eligibility issued by the Energy, Minerals and 
                                                                 tax credit for which the building owner is eligible. The 
Natural Resources Department (EMNRD), and then obtain 
                                                                 certificate also includes the first eligible tax year that the 
approval from the New Mexico Taxation and Revenue 
                                                                 allowable credit can be claimed.
Department (TRD). To claim the credit, the taxpayer must 
submit TRD-approval with the taxpayer’s income tax return.
                                                                 If the certification level for a sustainable residential building 
                                                                 is awarded on or after January 1, 2007, EMNRD may issue 
To qualify for the sustainable building tax credit, the building 
                                                                 a certificate of eligibility to a building owner who is: 
must have achieved a silver or higher certification level as 
described next.                                                  (1)  the owner of the sustainable residential building at the 
                                                                 time the certification level for the building is awarded, 
                                                                 or 
For Sustainable Commercial Buildings
The credit calculation is based on the certification level the   (2)  the subsequent purchaser of a sustainable residential 
building achieved in the LEED green building rating system       building with respect to which no tax credit has been 
and the amount of qualified occupied square footage in the       previously claimed.
building. See the commercial building rate chart on the last 
page of these instructions.                                      NOTE: Buildings owned by state or local governments, 
                                                                 public school districts, or tribal agencies do not qualify 
For Sustainable Residential Buildings                            as a sustainable building for purposes of the sustainable 
The credit calculation is based on the LEED-H or the Build       building tax credit. 
Green NM rating system certification level and the amount 
of qualified occupied square footage in the building.            To apply for a certificate of eligibility, contact EMNRD at 
                                                                 (505) 476-3320, or write to Energy, Minerals and Natural 
                                                                 Resources Department, 1220 So. St. Francis Dr., Santa 
Manufactured housing must meet the rating system 
                                                                 Fe, NM 87505. 
levels set by the United States Environmental Protection 
Agency for ENERGY STAR-certified manufactured homes. 
                                                                 Annual Limits Established for Approving Applications
See the residential building rate chart on the last page of 
                                                                 Effective January 1, 2014*, EMNRD cannot issue a

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RPD-41327             State of New Mexico  -  Taxation and Revenue Department
Rev. 04/11/2016
                      SUSTAINABLE BUILDING TAX CREDIT APPROVAL
                                                                                                      Page 2 of 5
certificate of eligibility if the total amount of sustainable 
building tax credits issued in a calendar year exceeds  If  the  qualifying  sustainable  building  is  owned  by  a 
an aggregate amount of $1,000,000 with respect to  partnership or other business association, the owner 
sustainable commercial buildings and an aggregate amount  may pass  the credit to its  member(s),  partners(s), 
of $4,000,000 with respect to sustainable residential         shareholder(s), or beneficiary(ies) by completing Section 
buildings, provided that no more than $1,250,000 of the  II, and submitting a Form RPD-41327, Sustainable 
aggregate amount with respect to sustainable residential      Building Tax Credit Approval, for each member, partner, 
buildings shall be for manufactured housing. Applications  shareholder,  or  beneficiary.  Members,  partners,  and 
are considered in the order received.                         beneficiaries  may  claim  a  credit  only  in  proportion  to 
                                                              their interest in the partnership or association, and are 
If for any tax year, EMNRD determines that the applications  issued an approval for their portion of the credit. The total 
for sustainable building tax credits with respect to  credit claimed in the aggregate by all members, partners, 
sustainable residential buildings for that tax year exceeds   and beneficiaries of the partnership or other business 
the aggregate limit above, EMNRD may issue certificates       association with respect to the sustainable building shall 
of eligibility under the aggregate annual limit for sustainable  not exceed the amount of the credit that could have been 
commercial buildings to owners of sustainable residential  claimed by a sole owner of the property. If TRD denies 
buildings that meet the requirements of EMNRD and  the approval request, Form RPD-41327 is returned to the 
of the sustainable building tax credit, provided that  building owner with an explanation.  
applications for sustainable building credits for other 
sustainable commercial buildings total less than the full     Sale, Exchange, or Transfer of the Tax Credit
amount allocated for tax credits for sustainable commercial  When a holder or owner receives TRD approval, the credit 
buildings.                                                    may be sold, exchanged, or otherwise transferred. Form 
                                                              RPD-41342,  Notice of Transfer of Sustainable Building 
*Prior to January 1, 2014, the aggregate limitations for a    Tax Credit, must be used to report to TRD a transfer of 
calendar year were $5,000,000 with respect to sustainable  approved sustainable building tax credit. Notice must be 
commercial  buildings  and  $5,000,000  with  respect  to  provided to TRD within 10 days of a sale, exchange, or 
sustainable residential buildings.                            other transfer. TRD issues the new holder an approval for 
                                                              the credit transfer, a new credit number, and instructions for 
Tax Credit Forms                                              applying the credit to personal or corporate income tax due.
Before you can claim a credit, the Taxation and Revenue 
Department must give you approval to receive the credit.  The amount of the credit allowed to a holder who sells, 
The  following  list  shows  all  the  forms  for  sustainable  exchanges or transfers their credit to another taxpayer, 
building tax credits:                                         may not be split or divided between taxpayers. The total 
• RPD-41327, Sustainable Building Tax Credit Approval         amount of credit allowed, as shown on the TRD-approved 
• RPD-41342, Notice of Transfer of Sustainable Building       document provided to the holder, must either be claimed 
  Tax Credit                                                  or otherwise transferred by the holder. The TRD-approved 
• RPD-41329,   Sustainable Building Tax Credit Claim          document will be either Form RPD-41327, Sustainable 
  Form                                                        Building Tax Credit Approval, or a TRD-approved Form 
                                                              RPD-41342, Notice of Transfer of Sustainable Building Tax 
Requesting the Approval from TRD                              Credit, depending on the how the previous holder received 
After EMNRD issues the certificate of eligibility, the owner  TRD approval for the credit.
of the building must promptly complete Form RPD-41327, 
Sustainable Building Tax Credit Approval, and submit it       If, however, the holder is a partnership or other business 
to TRD with a copy of the certificate of eligibility and any  association that passes the credit to its owners, each owner 
other information that TRD may require to determine the       may claim a credit only in proportion to that owner’s interest 
amount of the tax credit for which the building owner is      in the partnership or other business association. The total 
eligible. If all requirements have been complied with, TRD    credit claimed by all owners may not exceed the amount 
approves the credit and returns the approved form to the      of the credit that could have been claimed by the holder.  
owner or holder. The sustainable building tax credit allowed 
an eligible owner of a qualifying sustainable building may    Note: Once  a  credit  is  claimed  by  a  holder  or  owner, 
be claimed  against  the  owner’s  personal  or  corporate    the carryforward may not be further sold, exchanged or 
income tax liability or may be sold, exchanged, or otherwise  transferred.
transferred to another taxpayer. See Sale, Exchange, or 
Transfer of the Tax Credit, for more information.             An original building owner that is a partnership or other

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RPD-41327              State of New Mexico  -  Taxation and Revenue Department
Rev. 04/11/2016
                        SUSTAINABLE BUILDING TAX CREDIT APPROVAL
                                                                                                          Page 3 of 5

business association may pass TRD-approved credit to  Committee with an analysis of the effectiveness and cost 
its owners, by completing Sections I and II of Form RPD-       of the tax credit, and whether the tax credit is performing 
41327, Sustainable Building Tax Credit Approval        , and  the purpose for which it was created.
submitting a Form RPD-41327 for each owner. 
                                                               COMPLETING THE CREDIT APPROVAL FORM
How You Can Claim the Approved Credit                          Follow these instructions to complete each section of RPD-
Holders or owners can claim the approved sustainable  41327, Sustainable Building Tax Credit Approval.
building  tax  credit  against  their  personal  or  corporate 
income tax liability for the tax year subject to the rules     Section I. Complete the name block with the information 
described next. If the amount of the credit available in a  for the eligible building owner. 
tax year exceeds the liability for that tax year, holders or 
owners can carryforward the excess for up to seven years.  Required to receive the credit:
                                                               • Mark in box to certify the statement
The holder or owner must first claim the credit in the year    • Owner’s signature and date of signature
they are eligible to claim the credit or the portion of the    •  Attach certificate issued from EMNRD
credit before the carryforward can be claimed. This is true 
even if no tax is due.                                         Section II. Complete this section if the owner of the 
                                                               qualifying sustainable building is a partnership or other 
Effective January 1, 2014, if the total approved amount of     business association passing all or a portion of the credit 
all sustainable building tax credits in a tax year is:         to a member, partner, shareholder, or beneficiary. If there is 
• $100,000 or more, 25% of the total credit amount is          more than one member, partner, shareholder, or beneficiary, 
  applied  against  the  holder’s  personal  or  corporate  submit a Form RPD-41382 for each. The building owner, 
  income tax liability in the tax year in which the credit  and if applicable, the holder, if transferred to a member, 
  is approved,  and 25% in each  of  the next  three           partner, shareholder or beneficiary, must certify that the 
  subsequent tax years.                                        solar market development tax credit, pursuant to Section 
• Less than $100,000, a maximum of $25,000 is                  7-2-18.14 NMSA 1978, has not and will not be claimed for 
  applied  against  the  holder’s  personal  or  corporate  any solar thermal system or photovoltaic system installed 
  income tax liability for the tax year in which the credit    in the sustainable building as a component of qualification 
  is approved, and a maximum of $25,000 for the next           for the rating system certification level used in determining 
  three subsequent tax years as needed until the total  eligibility for the sustainable building tax credit. 
  credit is applied. 
                                                               Required to transfer the credit to members, partners, 
Prior to January 1, 2014, if the amount of the sustainable     shareholders or beneficiaries:
building tax credit represented by the TRD approval is         • Complete Section II
$25,000 or more, the credit must be applied for the tax        • Mark in box to certify the statement
year in which the credit is approved and for the next three    • Holder’s signature and date of signature 
subsequent tax years, in increments of 25% of the total 
credit amount in each of the four tax years. If the amount     Section  III. TRD  completes  this  section  of  the  form, 
of the sustainable building tax credit approved by TRD         approving,  partially  approving,  or  disapproving  the 
is less than $25,000, the entire amount of the credit may      sustainable building tax credit.  
be applied in the tax year in which the credit is approved.
                                                               Attach  a  copy  of  the  certificate  of  eligibility  issued  by 
In all cases, you may carryforward any excess from a           EMNRD to RPD-41327,  Sustainable Building Tax Credit 
credit that has been claimed for up to seven years. Married    Approval, and mail to: Taxation and Revenue Department, 
individuals who file separate returns for a tax year in which  Edit Error, P.O. Box 5418, Santa Fe, NM 87502-5418. For 
they could have filed a joint return may each claim only       assistance completing this form, call (505) 827-0792.
one-half of the sustainable building credit that would have 
been allowed on a joint return.                                IMPORTANT DEFINITIONS
                                                               Refer to the following definitions to understand the 
Effectiveness and Cost of Credit                               meanings of terms used in the sustainable building forms 
Beginning in 2015 and every five years thereafter, TRD         and instructions.
presents annual reports to the Revenue Stabilization                    
and Tax Policy Committee and the Legislative Finance           Build Green NM rating system      means the certification

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RPD-41327 State of New Mexico - Taxation and Revenue Department
Rev. 04/11/2016
SUSTAINABLE BUILDING TAX CREDIT APPROVAL
Page 4 of 5
standards adopted by the Homebuilders Association of b. the administrators of the Build Green NM rating system
Central New Mexico. for those homes obtaining Build Green NM certification,
and
LEED means the most current Leadership in Energy c. the U.S. Environmental Protection Agency for ENERGY
and Environmental Design green building rating system STAR-certified manufactured homes.
guidelines developed and adopted by the U. S. Green
Building Council. Sustainable building means either a sustainable
LEED-CI means the LEED rating system for commercial commercial building or a sustainable residential building.
interiors.
Sustainable commercial building means a multifamily
LEED-CS means the LEED rating system for the core and
dwelling unit, as registered and certified under the LEED-H
shell of buildings.
or Build Green NM rating system, that is certified by the
LEED-EB means the LEED rating system for existing U.S. Green Building Council as LEED-H silver or higher or
buildings. by Build Green NM as silver or higher, and has achieved
LEED-H means the LEED rating system for homes. a home energy rating system index of 60 or lower as
developed by the Residential Energy Services Network,
LEED-NC means the LEED rating system for new buildings or a building that has been registered and certified under
and major renovations. the LEED-NC, LEED-EB, LEED-CS, or LEED-CI rating
LEED gold means the rating in compliance with, or system and that:
exceeding, the second highest rating awarded by the LEED a. is certified by the U.S. Green Building Council at LEED
certification process. silver or higher,
LEED platinum means the rating in compliance with, b. achieves any prerequisite for and at least one point
or exceeding, the highest rating awarded by the LEED related to commissioning under LEED “energy and
certification process. atmosphere,” if included in the applicable rating
system, and
LEED silver means the rating in compliance with, or
c. has reduced energy consumption, as follows:
exceeding, the third highest rating awarded by the LEED
certification process. 1. through 2011, a 50% energy reduction will be
required based on the national average for that
building type as published by the U.S. Department
Manufactured housing means a multisectioned home of Energy; and beginning January 1, 2012, a 60%
that is: energy reduction will be required based on the
a. a manufactured home or modular home; national average for that building type as published
b. a single-family dwelling with a heated area of at least by the U.S. Department of Energy; and
36 feet by 24 feet and a total area of at least 864 2. is substantiated by the U.S. Environmental
square feet; Protection Agency target finder energy performance
c. constructed in a factory to the standards of the U.S. results form, dated no sooner than the schematic
Department of Housing and Urban Development, the design phase of development.
National Manufactured Housing Construction and
Sustainable residential building means
Safety Standards Act of 1974, and the Housing and
a. a building used as a single-family residence as
Urban Development Zone Code 2 or New Mexico
registered and certified under the Build Green NM or
construction codes up to the date of the unit’s
LEED-H rating systems that:
construction; and
1. is certified by the U.S. Green Building Council as
d. installed consistent with the Manufactured Housing
LEED-H silver or higher or by Build Green NM as
Act and rules adopted pursuant to that act relating to
silver or higher, and
permanent foundations.
2. has achieved a home energy rating system index
of 60 or lower as developed by the Residential
Person does not include state, local government, public
school district, or tribal agencies. or
Energy Services Network,
b. manufactured housing that is ENERGY STAR-qualified
Qualified occupied square footagemeans the occupied by the U.S. Environmental Protection Agency.
spaces of the building as determined by:
a. the U.S. Green Building Council for those buildings Tribal means of, belonging to, or created by a federally
obtaining LEED certification, recognized Indian nation, tribe, or pueblo.

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RPD-41327                             State of New Mexico  -  Taxation and Revenue Department
Rev. 04/11/2016
                                                 SUSTAINABLE BUILDING TAX CREDIT APPROVAL
                                                                                                                                                                              Page 5 of 5
  
The amount of the sustainable building tax credit that may be claimed with respect to a sustainable                                                                       commercial building 
is calculated based on the certification level the building has achieved in the LEED green building rating system and                                                                 the 
amount of qualified occupied square footage in the building, as indicated in the following chart:

                         Commercial Building                                          Qualified Occupied                             Tax Credit per
                         Rating System/Level                                                       Square Footage                                 Square Foot
                                                                                      
                         LEED-NC Silver                                                                  First 10,000                                $ 3.50
                                                                                                         Next 40,000                                 $ 1.75
                                                                                 Over 50,000 up to 500,000                                           $ 0.70
                         LEED-NC Gold                                                                    First 10,000                                $ 4.75
                                                                                                         Next 40,000                                 $ 2.00
                                                                                 Over 50,000 up to 500,000                                           $ 1.00
                         LEED-NC Platinum                                                                First 10,000                                $ 6.25
                                                                                                         Next 40,000                                 $ 3.25
                                                                                 Over 50,000 up to 500,000                                           $ 2.00
                         LEED-EB                                                                         First 10,000                                $ 2.50
                         or CS Silver                                                                    Next 40,000                                 $ 1.25
                                                                                 Over 50,000 up to 500,000                                           $ 0.50
                         LEED-EB                                                                         First 10,000                                $ 3.35
                         or CS Gold                                                                      Next 40,000                                 $ 1.40
                                                                                 Over 50,000 up to 500,000                                           $ 0.70 
                         LEED-EB                                                                         First 10,000                                $ 4.40
                         or CS Platinum                                                                  Next 40,000                                 $ 2.30
                                                                                 Over 50,000 up to 500,000                                           $ 1.40
                         LEED-CI Silver                                                                  First 10,000                                $ 1.40
                                                                                                         Next 40,000                                 $ 0.70
                                                                                 Over 50,000 up to 500,000                                           $ 0.30
                         LEED-CI Gold                                                                    First 10,000                                $ 1.90
                                                                                                         Next 40,000                                 $ 0.80
                                                                                 Over 50,000 up to 500,000                                           $ 0.40
                         LEED-CI Platinum                                                                First 10,000                                $ 2.50
                                                                                                         Next 40,000                                 $ 1.30
                                                                                 Over 50,000 up to 500,000                                           $ 0.80

The amount of the sustainable building tax credit that may be claimed with respect to a sustainable residential building is 
calculated based on the certification level the building has achieved and the amount of qualified occupied square footage in 
the building, as indicated in the following chart:

                                     Residential             Building                              Qualified Occupied                             Tax Credit per
                        Rating System/Level                                                           Square Footage                              Square Foot
                        LEED-H Silver or Build                                                First 2,000                                             $5.00
                        Green NM Silver                                                                  Next 1,000                                   $2.50
                        LEED-H Gold or Build                                                             First 2,000                                  $6.85
                        Green NM Gold                                                                    Next 1,000                                   $3.40   
                        LEED-H Platinum or Build                                                         First 2,000                                  $9.00
                        Green NM Emerald                                                                 Next 1,000                                   $4.45
 
                        EPA ENERGY STAR                                                                  Up to 3,000                                            $3.00
                        Manufactured Housing

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