Minneslate Logo

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, which would provide eligible senior homeowners with an advance credit on their homestead credit refund to help reduce property tax burdens.

Key Provisions:

  1. Eligibility:

    • Applies to senior homeowners who have received homestead status in the prior tax year and have been deemed eligible under section 290A.071.

  2. Credit Amount:

    • Seniors would receive an advance credit equal to 50% of the previous year's homestead credit refund.

  3. Certification Process:

    • By January 2, the Commissioner of Revenue must calculate and certify the credit amounts to counties.
    • County auditors must apply the credit to the first half of the property tax bill.
    • If the credit exceeds the first-half tax payment, it is adjusted so that the first-half tax bill isn’t negative.
    • Counties must report reductions to the Commissioner of Revenue, who will review and adjust as necessary.

  4. Reimbursement and Payments:

    • The Commissioner of Revenue will reimburse local taxing jurisdictions (except schools) on October 31 each year for the reductions.
    • Reimbursements related to tax increments will be paid on December 26.
    • The Commissioner of Education will handle school district reimbursements.

  5. Funding Appropriation:

    • The necessary funds for tax reductions are annually appropriated from the general fund to the Commissioner of Revenue (for local governments) and the Commissioner of Education (for school districts).

Purpose:

This bill aims to provide financial relief to senior homeowners by allowing them to receive part of their homestead credit refund in advance, directly reducing their property tax payments rather than waiting for a refund later.

Would you like a further breakdown or explanation of any section?

Bill text versions

Actions

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

Citations

 
[
  {
    "analysis": {
      "added": [],
      "removed": [],
      "summary": "This bill modifies procedures for property tax notifications under section 275.065, subdivision 3.",
      "modified": [
        "Updates the timeline for notification dissemination."
      ]
    },
    "citation": "275.065",
    "subdivision": "subdivision 3"
  },
  {
    "analysis": {
      "added": [],
      "removed": [],
      "summary": "Amendments to the processing of property tax statements under section 276.04, subdivision 2.",
      "modified": [
        "Changes in layout and information required on statements."
      ]
    },
    "citation": "276.04",
    "subdivision": "subdivision 2"
  },
  {
    "analysis": {
      "added": [],
      "removed": [],
      "summary": "Modifications to definitions related to property tax relief under section 290A.03, subdivision 13.",
      "modified": [
        "Clarification on the eligibility criteria for homestead credit refund."
      ]
    },
    "citation": "290A.03",
    "subdivision": "subdivision 13"
  },
  {
    "analysis": {
      "added": [
        "Details added on reimbursement process for school districts."
      ],
      "removed": [],
      "summary": "Changes to state reimbursements for local property tax relief measures under section 273.1392.",
      "modified": []
    },
    "citation": "273.1392",
    "subdivision": ""
  },
  {
    "analysis": {
      "added": [],
      "removed": [],
      "summary": "Adjustments to the procedures for certification under section 270C.85, subdivision 2.",
      "modified": [
        "Process for verifying county auditor certifications."
      ]
    },
    "citation": "270C.85",
    "subdivision": "subdivision 2"
  }
]

Sponsors