This bill amends Minnesota Statutes 2022, section 273.13, subdivision 34, to modify the market value exclusion for veterans with disabilities. The key changes include lowering the service-connected disability threshold from 70% to 50% to qualify for the exclusion. Additionally, the bill introduces a tiered exclusion system based on disability ratings: for a rating of 70% or more, the exclusion is set at 1.4 times the exclusion base amount; for a total (100%) and permanent disability, it is two times the exclusion base amount; and for a rating between 50% and 70%, the exclusion is equal to the base amount. The exclusion base amount for assessment year 2023 is established at $200,000, with annual adjustments based on economic indicators.

Furthermore, the bill outlines provisions for surviving spouses of veterans, allowing them to retain the exclusion under certain conditions, and extends eligibility to the primary family caregivers of veterans who meet the disability criteria. It also specifies that only the portion of agricultural homesteads consisting of the house, garage, and one acre of land qualifies for the exclusion. The effective date for these changes is set for assessment year 2023 and thereafter.

Statutes affected:
Introduction: 273.13