HF2475

HF2475 (Legislative Session 94 (2025-2026))

Homestead credit refund co-pays reduced.

Related bill: SF2766

AI Generated Summary

Purpose of the Bill

This bill aims to reduce property tax burdens for homeowners in Minnesota by adjusting the homestead credit refund (property tax refund) system. The bill seeks to make it easier for homeowners to receive refunds by lowering the percentage of income that must be paid in property taxes before qualifying for a state refund.

Main Provisions

The bill outlines changes to the calculation of how much property tax homeowners must pay compared to their household income in order to qualify for a state refund.
Different income brackets have specific percentages applied to determine the claimant's copay and the maximum state refund amount.
The percentage of taxes that the homeowner is responsible for is decreased across different income levels, making more homeowners eligible for larger savings.

Significant Changes to Existing Law

The bill modifies the income and tax percentage brackets defined in the Minnesota Statutes (2024) by adjusting the percentages that determine the refund calculations.
For each income range, the bill reduces the percentage of property taxes homeowners must pay to qualify for the refund.
The maximum state refund amounts have been recalculated, providing more relief for lower-income homeowners.

Relevant Terms

Homestead credit refund
Property tax refund
Household income
State refund amount
Income brackets
Tax copay percentages

Bill text versions

Introduction PDF file

Actions

Date	Chamber	Where	Type	Name	Committee Name
March 16, 2025	House	Floor	Action	Introduction and first reading, referred to	Taxes

Citations

[
  {
    "analysis": {
      "added": [
        "Reduces copays for various income brackets to increase the maximum state refund."
      ],
      "removed": [
        "No specific requirements were removed, but adjustments in percentages imply streamlining the previous refund conditions."
      ],
      "summary": "This bill amends the homestead credit refund provision for property tax relief under section 290A.04.",
      "modified": [
        "Adjustments to percentage of income levels and maximum state refund amounts for various income brackets."
      ]
    },
    "citation": "290A.04"
  }
]