This bill establishes a new senior citizens' property tax credit in Minnesota, designated as [273.1388] SENIOR CITIZENS' PROPERTY TAX CREDIT. To qualify for this credit, individuals must be at least 65 years old or retired under a mandatory retirement law, and they must own and occupy the property as their homestead. The credit amount is determined by calculating the difference between the net tax on the property and the net tax on the median market value of owner-occupied housing in the municipality, with a maximum credit amount to be established. The bill also outlines the application process, reimbursement procedures for local taxing jurisdictions, and appropriations from the general fund to support the program. Furthermore, the bill amends existing statutes to incorporate the new credit into the computation of net property taxes and property tax statements. It adds the senior citizens' property tax credit to the list of credits that can be subtracted from gross property taxes, ensuring its recognition in overall tax calculations. The bill also introduces provisions for property tax statements, requiring the inclusion of this credit alongside other financial information and allowing taxing districts to include notices about upcoming budget deliberations. These changes are set to take effect for property taxes payable in 2026, providing time for necessary administrative adjustments.

Statutes affected:
Introduction: 273.1393, 275.065, 276.04