Bill > HF551

This bill establishes a new senior citizens' property tax credit for homeowners aged 65 and older, designed to provide tax relief by reducing property taxes based on the difference between a property's actual market value and the median market value of owner-occupied housing in the municipality. To qualify, the property must be a primary residence (classified as class 1a, 1b, or a portion of class 2a), owned and occupied by a person who is retired at the normal retirement age or at least 65 years old. For married couples, at least one spouse must be 65, and the other must be at least 62. Applicants must file an initial application with the county auditor by July 1 of the assessment year, and if approved, will receive the credit on subsequent tax statements until they no longer own the property or qualify. The bill requires local taxing jurisdictions to be reimbursed for the tax reductions by the state, with payments made in two installments and appropriates sufficient funds from the general fund to cover these reimbursements. The credit will first be applied to property taxes payable in 2026 and will be incorporated into existing property tax calculation and reporting processes, including tax statements and notices.

Budget and Finance

https://www.revisor.mn.gov/bills/bill.php?b=House&f=HF0551&ssn=0&y=2025