Minneslate Logo

SF443 (Legislative Session 94 (2025-2026))

Senior property tax credit establishment

Related bill: HF403

AI Generated Summary

SF No 443 is a proposed bill in Minnesota that aims to introduce a new property tax credit for senior citizens. Here are the key points:

  1. Eligibility for Credit: Property must be classified properly and owned and occupied by a person who is 65 years or older (or one spouse 65 and the other at least 62) and has been the homestead of the owner since the beginning of the year.

  2. Application Process: Eligible seniors must apply with the county assessor by December 15 of the year before the tax year when they want the credit to start. The application needs to include names, addresses, and SSN or taxpayer IDs, along with the date they started living in the property.

  3. Credit Amount: The tax credit will equal the difference between the current year's tax (after other credits) and a calculated amount based on the previous year’s tax. The credit amount cannot reduce the property's tax liability to below zero.

  4. Continuation and Cessation: Once granted, the credit continues annually unless the property is sold, the homeowner dies, or the property no longer qualifies as a homestead.

  5. Local Government Reimbursement: The county auditor calculates tax reductions and communicates them to the state. The state then reimburses each local taxing jurisdiction for the amount reduced by this credit. Payments to local governments and school districts are made in two installments each year.

  6. Funding: Funds required to make these payments to local jurisdictions and school districts are taken from the general fund, as appropriated annually by the state.

The bill is structured to give tax relief to senior homeowners, making it easier for them to afford living in their homes as they age.

Bill text versions

Actions

DateChamberWhereTypeNameCommittee Name
January 20, 2025SenateFloorActionIntroduction and first reading
January 20, 2025SenateFloorActionReferred toTaxes

Citations

 
[
  {
    "analysis": {
      "added": [
        "Details about reimbursement mechanisms for local taxing jurisdictions."
      ],
      "removed": [],
      "summary": "The bill references section 273.1392 concerning payment reimbursements related to the senior credit.",
      "modified": [
        "Inclusion of school district reimbursements process alongside other jurisdictions."
      ]
    },
    "citation": "273.1392"
  },
  {
    "analysis": {
      "added": [],
      "removed": [],
      "summary": "This citation deals with the proportional reduction of net property tax payable to each local taxing jurisdiction.",
      "modified": [
        "Clarifies the application of the senior credit to reduce property taxes."
      ]
    },
    "citation": "273.1393"
  },
  {
    "analysis": {
      "added": [],
      "removed": [],
      "summary": "The bill amends section 275.065 subdivision 3 in reference to property tax processes and timing.",
      "modified": [
        "Adjustments to tax credit applications and timing requirements."
      ]
    },
    "citation": "275.065 subdivision 3"
  },
  {
    "analysis": {
      "added": [],
      "removed": [],
      "summary": "Amendments to section 276.04 subdivision 2 involve tax reductions for senior credit applicability.",
      "modified": [
        "Specifies the calculation adjustments for credit reimbursement."
      ]
    },
    "citation": "276.04 subdivision 2"
  },
  {
    "analysis": {
      "added": [],
      "removed": [],
      "summary": "References section 270C.85 subdivision 2 to dictate data reporting for tax reductions.",
      "modified": [
        "Mandates reporting requirements for tax reductions due to senior credits."
      ]
    },
    "citation": "270C.85 subdivision 2"
  }
]

Sponsors