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SF1957 (Legislative Session 94 (2025-2026))

Advanced homestead credit refund for seniors process and credit establishment provision

Related bill: HF168

AI Generated Summary

This bill, S.F. No. 1957, proposes the establishment of an Advance Homestead Credit for Seniors in Minnesota, allowing senior homeowners to receive an advance credit on their homestead property tax refund. Key provisions include:

  1. Eligibility: Homeowners who are seniors and received a homestead credit refund in the previous year can apply for the advance credit.

  2. Credit Amount: Eligible homeowners would receive an advanced credit equal to 50% of the homestead credit refund they received in the prior year.

  3. Certification & Application:

    • By January 2 each year, the Commissioner of Revenue will calculate the credit amount for eligible homeowners and certify it to county auditors.
    • The credit will be applied to the homeowner’s first-half property tax payment.
    • If the credit exceeds the first-half tax due, it will be reduced so that the first-half payment is zero.

  4. State Reimbursement to Local Governments:

    • The state will reimburse local jurisdictions (excluding school districts) for the property tax reductions caused by the credit.
    • Payments will be made in one installment on October 31 of the corresponding tax year.
    • Reimbursements for school districts will be processed separately by the Commissioner of Education.

  5. Funding: The necessary funds for these reimbursements will be automatically appropriated from the General Fund each year.

This measure is intended to provide financial relief for senior homeowners by reducing the upfront cost of their property taxes.

Bill text versions

Actions

DateChamberWhereTypeNameCommittee Name
February 26, 2025SenateFloorActionIntroduction and first reading
February 26, 2025SenateFloorActionReferred toTaxes

Citations

 
[
  {
    "analysis": {
      "added": [
        "Introduces new criteria for application submission and eligibility determination."
      ],
      "removed": [
        "Previously implicit cross-references with other sections were eliminated."
      ],
      "summary": "This bill modifies the definition of eligible senior claimants under section 290A.03 for purposes of property tax refunds.",
      "modified": [
        "Adjusts definitions to clarify distinctions between senior and non-senior claimants."
      ]
    },
    "citation": "290A.03"
  },
  {
    "analysis": {
      "added": [
        "Clarifies certification timeline for commissioner of education."
      ],
      "removed": [
        "Obsolete language regarding prior verifications was removed."
      ],
      "summary": "This bill modifies the reimbursement process for school districts under section 273.1392.",
      "modified": [
        "Updates procedural steps for payments related to tax reductions."
      ]
    },
    "citation": "273.1392"
  },
  {
    "analysis": {
      "added": [
        "New procedures for returning incorrect certifications for correction."
      ],
      "removed": [
        "Simplifies previous multi-step verification processes."
      ],
      "summary": "This bill involves certification accuracy review under section 270C.85.",
      "modified": [
        "Refines the responsibilities of the commissioner regarding certification."
      ]
    },
    "citation": "270C.85"
  }
]

Sponsors