HF1829

This bill proposes amendments to Minnesota Statutes regarding property taxation, specifically modifying tier limits for homestead resort properties classified as Class 1c properties. The primary changes involve increasing the tier thresholds for taxable market value classification. The updated tier structure is as follows:

• Tier I: Increased from $600,000 to $1,500,000 with a classification rate of 0.50%.
• Tier II: Increased from $1,700,000 to $3,000,000 with a classification rate of 1.0%.
• Tier III: Any remaining market value above Tier II, classified at 1.25%.

Class 1c properties are commercial resort properties that abut public waters or state trails and are used for temporary and seasonal residential occupancy. The bill retains the prior requirements that these properties must be used for no more than 250 days per year for commercial rental, and includes provisions for homestead use by the owner.

The proposed modification aims to adjust tax classifications in response to changing property values and potentially ease the tax burden on resort property owners.