HF195

Purpose

• Extend a property tax exemption to certain property owned and operated by congressionally chartered veterans service organizations.
• Remove the property tax classification rate for that qualifying property.

Main Provisions

• New subdivision added: Subd. 106 in Minnesota Statutes 2024 section 272.02. This subdivision defines the exemption criteria.
• Exemption criteria: Property that qualifies for classification under Minnesota Statutes section 273.13 subdivision 25 paragraph d clause 3, and is owned and operated by a congressionally chartered veterans service organization, is exempt from property tax classification.
• Reporting requirement: The commissioner of veterans affairs must annually provide a list of congressionally chartered veterans service organizations to the commissioner of revenue by January 1 each year.

Significant Changes to Existing Law

• Property owned and operated by congressionally chartered veterans service organizations that meet the defined criteria will be exempt from property tax classification, effectively removing the classification rate for that property.
• Adds a procedural step to ensure eligible organizations are identified each year via a formal annual list from the veterans affairs department to the revenue department.

Implementation Notes

• Cross-references to existing law: the exemption ties to the classification framework under section 273.13 subdivision 25 paragraph d clause 3.
• Administrative process: annual list submission to the Department of Revenue facilitates the exemption determination.

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Relevant Terms congressionally chartered veterans service organizations, property tax exemption, property tax classification, classification rate, Minnesota Statutes 2024 section 272.02, Subdivision 106, Minnesota Statutes 2024 section 273.13 subdivision 25, paragraph d, clause 3, owned and operated, commissioner of veterans affairs, commissioner of revenue, January 1 deadline, exempt.