The City of Santa Fe announced on April 28 that the threshold for the High-End Excise Tax will increase to $1,029,000.00, effective May 1, following a 2.9 percent adjustment based on the Consumer Price Index for calendar year 2025.
This change is part of an ordinance that provides a dedicated and ongoing source of funding for the city’s affordable housing fund. The excise tax applies at a rate of three percent only to the portion of a property’s sale price that exceeds $1,029,000.00. Certain transactions are exempt from this tax as outlined in the ordinance.
According to city officials, the threshold is reviewed annually each May 1 and adjusted in line with changes to the Consumer Price Index. If there is no increase in the index during the prior year, then no adjustment will be made to the threshold.
The city encourages residents to learn more about how this excise tax supports affordable housing initiatives in Santa Fe through resources available online.
Officials said these annual adjustments aim to maintain consistent support for affordable housing while reflecting current economic conditions.
