HF 258

as introduced - 86th Legislature (2009 - 2010) Posted on 02/09/2010 01:35am

A bill for an act
relating to taxation; extending the property tax refund program to residents of
certain nursing homes; amending Minnesota Statutes 2008, section 290A.03,
subdivision 8.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:

Section 1.

Minnesota Statutes 2008, section 290A.03, subdivision 8, is amended to
read:

Subd. 8.

Claimant.

(a) "Claimant" means a person, other than a dependent, as
defined under sections 151 and 152 of the Internal Revenue Code disregarding section
152(b)(3) of the Internal Revenue Code, who filed a claim authorized by this chapter
and who was a resident of this state as provided in chapter 290 during the calendar year
for which the claim for relief was filed.

(b) In the case of a claim relating to rent constituting property taxes, the claimant new text begin ,
except for a claimant who is a resident of a nursing home licensed under chapter 144A, new text end
shall have resided in a rented or leased unit on which ad valorem taxes or payments made
in lieu of ad valorem taxes, including payments of special assessments imposed in lieu of
ad valorem taxes, are payable at some time during the calendar year covered by the claim.

(c) "Claimant" shall not include a resident of a nursing home, intermediate care
facility, long-term residential facility, or a facility that accepts group residential housing
payments whose rent constituting property taxes is paid pursuant to the supplemental
security income program under title XVI of the Social Security Act, the Minnesota
supplemental aid program under sections 256D.35 to 256D.54, the medical assistance
program pursuant to title XIX of the Social Security Act, the general assistance medical
care program pursuant to section 256D.03, subdivision 3, or the group residential housing
program under chapter 256I.

If only a portion of the rent constituting property taxes is paid by these programs, the
resident shall be a claimant for purposes of this chapter, but the refund calculated pursuant
to section 290A.04 shall be multiplied by a fraction, the numerator of which is income as
defined in subdivision 3, paragraphs (1) and (2), reduced by the total amount of income
from the above sources other than vendor payments under the medical assistance program
or the general assistance medical care program and the denominator of which is income as
defined in subdivision 3, paragraphs (1) and (2), plus vendor payments under the medical
assistance program or the general assistance medical care program, to determine the
allowable refund pursuant to this chapter.

(d) Notwithstanding paragraph (c), if the claimant was a resident of the nursing
home, intermediate care facility, long-term residential facility, or facility for which the rent
was paid for the claimant by the group residential housing program for only a portion of the
calendar year covered by the claim, the claimant may compute rent constituting property
taxes by disregarding the rent constituting property taxes from the nursing home or facility
and use only that amount of rent constituting property taxes or property taxes payable
relating to that portion of the year when the claimant was not in the facility. The claimant's
household income is the income for the entire calendar year covered by the claim.

(e) In the case of a claim for rent constituting property taxes of a part-year Minnesota
resident, the income and rental reflected in this computation shall be for the period of
Minnesota residency only. Any rental expenses paid which may be reflected in arriving
at federal adjusted gross income cannot be utilized for this computation. When two
individuals of a household are able to meet the qualifications for a claimant, they may
determine among them as to who the claimant shall be. If they are unable to agree, the
matter shall be referred to the commissioner of revenue whose decision shall be final. If a
homestead property owner was a part-year Minnesota resident, the income reflected in
the computation made pursuant to section 290A.04 shall be for the entire calendar year,
including income not assignable to Minnesota.

(f) If a homestead is occupied by two or more renters, who are not husband and
wife, the rent shall be deemed to be paid equally by each, and separate claims shall be
filed by each. The income of each shall be each renter's household income for purposes of
computing the amount of credit to be allowed.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective for property tax refund claims filed in
2009 and thereafter, for rent paid in 2008 and thereafter.
new text end