HF 198

as introduced - 81st Legislature (1999 - 2000) Posted on 12/15/2009 12:00am

  1.1                          A bill for an act
  1.2             relating to taxation; extending the 1997 and 1998 
  1.3             property tax rebates to seasonal recreational property.
  1.4   BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 
  1.5      Section 1.  [PROPERTY TAX REBATE; SEASONAL RECREATIONAL 
  1.6   PROPERTY; 1997 AND 1998.] 
  1.7      Subdivision 1.  [CREDIT ALLOWED.] A credit is allowed 
  1.8   against the tax imposed under Minnesota Statutes, chapter 290, 
  1.9   to an individual, other than as a dependent, as defined in 
  1.10  sections 151 and 152 of the Internal Revenue Code, disregarding 
  1.11  section 152(b)(3) of the Internal Revenue Code.  The credit 
  1.12  equals the sum of the following: 
  1.13     (1) 20 percent of the property tax paid before January 1, 
  1.14  1998, for taxes assessed in 1996, on qualified property; and 
  1.15     (2) the least of the following amounts: 
  1.16     (i) 20 percent of the property tax paid before January 1, 
  1.17  1999, for taxes assessed in 1997, on qualified property; 
  1.18     (ii) $500; or 
  1.19     (iii) $1,500 minus the amount of the credit allowed under 
  1.20  Laws 1998, chapter 389, article 1, section 1. 
  1.21     Subd. 2.  [DEFINITIONS.] (a) For purposes of this section, 
  1.22  the following terms have the meanings given: 
  1.23     (b) "Commissioner" means the commissioner of revenue. 
  1.24     (c) "Internal Revenue Code" means the Internal Revenue Code 
  2.1   of 1986, as amended through December 31, 1998. 
  2.2      (d) "Property tax" means the amount of ad valorem Minnesota 
  2.3   property tax that is: 
  2.4      (1) paid by the individual or spouse; and 
  2.5      (2) deductible by the individual or spouse under section 
  2.6   164 of the Internal Revenue Code. 
  2.7      (e) "Qualified property" means class 4c property classified 
  2.8   as seasonal residential recreational property not used for 
  2.9   commercial purposes under Minnesota Statutes, section 273.13, 
  2.10  subdivision 25, paragraph (d). 
  2.11     Subd. 3.  [CREDIT REFUNDABLE.] If the amount of the credit 
  2.12  under this section exceeds the taxpayer's tax liability under 
  2.13  Minnesota Statutes, chapter 290, the commissioner shall refund 
  2.14  the excess. 
  2.15     Subd. 4.  [TAX ADMINISTRATION RULES.] (a) To claim a credit 
  2.16  under this section, the taxpayer must attach a copy of the 
  2.17  property tax statement and provide any additional information 
  2.18  the commissioner requires. 
  2.19     (b) Payment of the credit under this section is subject to 
  2.20  Minnesota Statutes, chapter 270A, and any other provision 
  2.21  applicable to refunds under Minnesota Statutes, chapter 290. 
  2.22     Subd. 5.  [APPROPRIATION.] An amount sufficient to pay 
  2.23  refunds under this subdivision is appropriated to the 
  2.24  commissioner from the general fund. 
  2.25     Subd. 6.  [EFFECTIVE INCOME TAX YEAR 1999 ONLY.] This 
  2.26  credit applies to taxable years beginning after December 31, 
  2.27  1998, and before January 1, 2000.