N.M. Admin. Code § 3.2.219.9

Current through Register Vol. 35, No. 23, December 10, 2024

Section 3.2.219.9 - CERTAIN CHARGES ARE DEDUCTIBLE

A. A charge by a bank or other financial institution with respect to an honored commitment (using funds other than the depositor's to cover an overdraft) are charges made in connection with the origination, making or assumption of a loan and are deductible under Section 7-9-61.1 NMSA 1978.

B. An overdraft protection fee charged by a bank or other financial institution is equivalent to a fee for maintaining a line of credit. The overdraft protection fee is a charge made in connection with the origination, making or assumption of a loan and is deductible under Section 7-9-61.1 NMSA 1978.

9/20/93, 11/15/96; 3.2.219.9 NMAC - Rn, 3 NMAC 2.61.1.9 & A, 6/14/01