HF 1139

as introduced - 84th Legislature (2005 - 2006) Posted on 12/15/2009 12:00am

A bill for an act
relating to property taxation; exempting the first
tier of commercial-industrial property from the state
general tax; amending Minnesota Statutes 2004, section
275.025, subdivisions 2, 4.

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

Section 1.

Minnesota Statutes 2004, section 275.025,
subdivision 2, is amended to read:

Subd. 2.

Commercial-industrial tax capacity.

For the
purposes of this section, "commercial-industrial tax capacity"
means the tax capacity of all taxable property classified as
class 3 or class 5(1) under section 273.13, except for new text begin that
portion of property eligible for the first tier class rate under
section 273.13, subdivision 24, new text end electric generation attached
machinery under class 3 new text begin , new text end and property described in section
473.625. deleted text begin County deleted text end Commercial-industrial tax capacity amounts are
not adjusted for the captured net tax capacity of a tax
increment financing district under section 469.177, subdivision
2, the net tax capacity of transmission lines deducted from a
local government's total net tax capacity under section 273.425,
or fiscal disparities contribution and distribution net tax
capacities under chapter 276A or 473F.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective for taxes
payable in 2006 and subsequent years.
new text end

Sec. 2.

Minnesota Statutes 2004, section 275.025,
subdivision 4, is amended to read:

Subd. 4.

Apportionment and levy of state general tax.

new text begin Ninety-four percent of new text end the state general tax must be deleted text begin distributed
among the counties deleted text end new text begin levied new text end by applying a uniform rate to deleted text begin each
county's deleted text end new text begin all new text end commercial-industrial tax capacity new text begin , new text end and deleted text begin its deleted text end new text begin six
percent of the state general tax must be levied by applying a
uniform rate to all new text end seasonal residential recreational tax
capacity. deleted text begin Within each county, the tax must be levied by
applying a uniform rate against commercial-industrial tax
capacity and seasonal residential recreational tax capacity. deleted text end On
or before October 1 each year, the commissioner of revenue shall
certify deleted text begin a deleted text end new text begin the new text end preliminary state general levy deleted text begin rate deleted text end new text begin rates on
commercial-industrial property and seasonal residential
recreational property new text end to each county auditor that must be used
to prepare the notices of proposed property taxes for taxes
payable in the following year. By January 1 of each year, the
commissioner shall certify the final state general levy deleted text begin rate
deleted text end new text begin rates new text end to each county auditor that shall be used in spreading
taxes.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective for taxes
payable in 2006 and subsequent years.
new text end