This bill proposes the establishment of a homestead market value exclusion for property owned by individuals aged 65 years or older who are retired. It amends Minnesota Statutes to include a new subdivision that specifies that the entire market value of qualifying properties will be excluded from taxable market value calculations. To qualify, the property must be classified as either 1a or 1b, or consist of a homestead portion of an agricultural property, and must be owned and occupied by a qualifying individual or couple. The bill also stipulates that properties receiving this exclusion will not be eligible for other property tax benefits, such as the market value exclusion under subdivision 35 or property tax credits.

Additionally, the bill amends existing statutes regarding property tax notices and statements to include information about any value reductions resulting from the new exclusion. It requires assessors to notify property owners of their market value and any applicable exclusions, and it mandates that property tax statements include specific information about the homestead market value exclusion. The effective date for these changes is set for property taxes payable in 2026.

Statutes affected:
Introduction: 273.121, 273.13, 276.04