This bill introduces a new tax credit for licensed in-home child care providers in Minnesota, specifically for properties utilized for family day care or group family day care programs. The "licensed in-home child care provider credit" is established at 50% of the net tax owed on qualifying properties after other credits have been applied. The bill requires the commissioner of human services to provide counties with a list of licensed providers by July 1, 2025, and outlines the reimbursement process for local taxing jurisdictions, including school districts, for the tax reductions granted under this credit. It also appropriates funds from the general fund to support these reimbursements.

In addition to the tax credit, the bill amends several sections of the Minnesota Statutes to incorporate this new credit into the computation of net property taxes and updates property tax statements to include relevant information about the credit. The effective date for the credit is set for property taxes payable in 2026, with school district reimbursement provisions effective in fiscal year 2027. Furthermore, the bill allows taxing districts to include notices with property tax statements to inform taxpayers about budget deliberation schedules and encourage participation in hearings, with the effective date for this provision also starting in 2026.

Statutes affected:
Introduction: 273.1392, 273.1393, 275.065, 276.04