HF 1063

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; property tax; increasing the 
  1.3             maximum household income for eligibility in senior 
  1.4             citizen's property tax deferral program; changing the 
  1.5             annual maximum property tax amount; amending Minnesota 
  1.6             Statutes 1998, sections 290B.03, subdivision 1; 
  1.7             290B.04, subdivisions 3 and 4; and 290B.05, 
  1.8             subdivision 1. 
  1.9   BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 
  1.10     Section 1.  Minnesota Statutes 1998, section 290B.03, 
  1.11  subdivision 1, is amended to read: 
  1.12     Subdivision 1.  [PROGRAM QUALIFICATIONS.] The 
  1.13  qualifications for the senior citizens' property tax deferral 
  1.14  program are as follows: 
  1.15     (1) the property must be owned and occupied as a homestead 
  1.16  by a person 65 years of age or older.  In the case of a married 
  1.17  couple, both of the spouses must be at least 65 years old at the 
  1.18  time the first property tax deferral is granted, regardless of 
  1.19  whether the property is titled in the name of one spouse or both 
  1.20  spouses, or titled in another way that permits the property to 
  1.21  have homestead status; 
  1.22     (2) the total household income of the qualifying 
  1.23  homeowners, as defined in section 290A.03, subdivision 5, for 
  1.24  the calendar year preceding the year of the initial application 
  1.25  may not exceed $30,000 $60,000; 
  1.26     (3) the homestead must have been owned and occupied as the 
  1.27  homestead of at least one of the qualifying homeowners for at 
  2.1   least 15 years prior to the year the initial application is 
  2.2   filed; 
  2.3      (4) there are no delinquent property taxes, penalties, or 
  2.4   interest on the homesteaded property; 
  2.5      (5) there are no delinquent special assessments on the 
  2.6   homesteaded property; 
  2.7      (6) there are no state or federal tax liens or judgment 
  2.8   liens on the homesteaded property; 
  2.9      (7) there are no mortgages or other liens on the property 
  2.10  that secure future advances, except for those subject to credit 
  2.11  limits that result in compliance with clause (8); and 
  2.12     (8) the total unpaid balances of debts secured by mortgages 
  2.13  and other liens on the property, including unpaid special 
  2.14  assessments, but not including property taxes payable during the 
  2.15  year, does not exceed 30 percent of the assessor's estimated 
  2.16  market value for the year. 
  2.17     Sec. 2.  Minnesota Statutes 1998, section 290B.04, 
  2.18  subdivision 3, is amended to read: 
  2.19     Subd. 3.  [EXCESS-INCOME CERTIFICATION BY TAXPAYER.] A 
  2.20  taxpayer whose initial application has been approved under 
  2.21  subdivision 2 shall notify the commissioner of revenue in 
  2.22  writing by July 1 if the taxpayer's household income for the 
  2.23  preceding calendar year exceeded $30,000 $60,000.  The 
  2.24  certification must state the homeowner's total household income 
  2.25  for the previous calendar year.  No property taxes may be 
  2.26  deferred under this chapter in any year following the year in 
  2.27  which a program participant filed or should have filed an 
  2.28  excess-income certification under this subdivision, unless the 
  2.29  participant has filed a resumption of eligibility certification 
  2.30  as described in subdivision 4. 
  2.31     Sec. 3.  Minnesota Statutes 1998, section 290B.04, 
  2.32  subdivision 4, is amended to read: 
  2.33     Subd. 4.  [RESUMPTION OF ELIGIBILITY CERTIFICATION BY 
  2.34  TAXPAYER.] A taxpayer who has previously filed an excess-income 
  2.35  certification under subdivision 3 may resume program 
  2.36  participation if the taxpayer's household income for a 
  3.1   subsequent year is $30,000 $60,000 or less.  If the taxpayer 
  3.2   chooses to resume program participation, the taxpayer must 
  3.3   notify the commissioner of revenue in writing by July 1 of the 
  3.4   year following a calendar year in which the taxpayer's household 
  3.5   income is $30,000 $60,000 or less.  The certification must state 
  3.6   the taxpayer's total household income for the previous calendar 
  3.7   year.  Once a taxpayer resumes participation in the program 
  3.8   under this subdivision, participation will continue until the 
  3.9   taxpayer files a subsequent excess-income certification under 
  3.10  subdivision 3 or until participation is terminated under section 
  3.11  290B.08, subdivision 1. 
  3.12     Sec. 4.  Minnesota Statutes 1998, section 290B.05, 
  3.13  subdivision 1, is amended to read: 
  3.14     Subdivision 1.  [DETERMINATION BY COMMISSIONER.] The 
  3.15  commissioner shall determine each qualifying homeowner's "annual 
  3.16  maximum property tax amount" following approval of the 
  3.17  homeowner's initial application and following the receipt of a 
  3.18  resumption of eligibility certification.  The "annual maximum 
  3.19  property tax amount" equals five three percent of the 
  3.20  homeowner's total household income for the year preceding either 
  3.21  the initial application or the resumption of eligibility 
  3.22  certification, whichever is applicable.  Following approval of 
  3.23  the initial application, the commissioner shall determine the 
  3.24  qualifying homeowner's "maximum allowable deferral."  No tax may 
  3.25  be deferred relative to the appropriate assessment year for any 
  3.26  homeowner whose total household income for the previous year 
  3.27  exceeds $30,000 $60,000.  No tax shall be deferred in any year 
  3.28  in which the homeowner does not meet the program qualifications 
  3.29  in section 290B.03.  The maximum allowable total deferral is 
  3.30  equal to 75 percent of the assessor's estimated market value for 
  3.31  the year, less the balance of any mortgage loans and other 
  3.32  amounts secured by liens against the property at the time of 
  3.33  application, including any unpaid special assessments but not 
  3.34  including property taxes payable during the year. 
  3.35     Sec. 5.  [EFFECTIVE DATE.] 
  3.36     This act is effective for deferrals of property taxes 
  4.1   payable in 2000 and thereafter.