HF1829

HF1829 (Legislative Session 94 (2025-2026))

Property tax; tier limits modified for homestead resort properties.

Related bill: SF2076

AI Generated Summary

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.

Bill text versions

Introduction PDF file

Actions

Date	Chamber	Where	Type	Name	Committee Name
March 02, 2025	House	Floor	Action	Introduction and first reading, referred to	Taxes
March 12, 2025	House	Floor	Action	Author added

Citations

[
  {
    "analysis": {
      "added": [
        "Includes new tiered system for class 1c property classification."
      ],
      "removed": [
        "N/A"
      ],
      "summary": "This bill modifies taxation and property classification limits for homestead resort properties under section 273.13.",
      "modified": [
        "Adjusts tier limits and classification rates for class 1c property."
      ]
    },
    "citation": "273.13"
  },
  {
    "analysis": {
      "added": [
        "N/A"
      ],
      "removed": [
        "N/A"
      ],
      "summary": "This bill references the criteria for a person considered blind as defined under section 256D.35.",
      "modified": [
        "Clarifies classification for homestead property used by persons with blindness or disability."
      ]
    },
    "citation": "256D.35"
  },
  {
    "analysis": {
      "added": [
        "N/A"
      ],
      "removed": [
        "N/A"
      ],
      "summary": "This bill refers to the definition of public water as mentioned in section 103G.005.",
      "modified": [
        "Used in defining property adjacent to public water for class 1c classification."
      ]
    },
    "citation": "103G.005"
  }
]