HF 3292

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

A bill for an act
relating to taxation; property; changing the interest rate on delinquent property
taxes; amending Minnesota Statutes 2004, section 279.03, subdivision 2;
Minnesota Statutes 2005 Supplement, section 279.03, subdivision 1a.

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

Section 1.

Minnesota Statutes 2005 Supplement, section 279.03, subdivision 1a,
is amended to read:

Subd. 1a.

deleted text begin Rate deleted text end new text begin Rates new text end after December 31, 1990.

(a) Except as provided in
deleted text begin paragraph deleted text end new text begin paragraphs new text end (b) new text begin and (c) new text end , interest on delinquent property taxes, penalties, and
costs unpaid on or after deleted text begin January 1, 1991, deleted text end new text begin December 31, 2006, shall be payable at the per
annum rate determined in section 270C.40, subdivision 5. If the rate so determined is less
than seven percent, the rate of interest shall be seven percent. The maximum per annum
rate shall be 14 percent if the rate specified under section 270C.40, subdivision 5, exceeds
14 percent. The rate is subject to change on January 1 of each year. new text end

new text begin (b) Except as provided in paragraph (c), interest on delinquent taxes, penalties, and
costs unpaid on or after January 1, 1991, and before January 1, 2007, new text end shall be payable at
the per annum rate determined in section 270C.40, subdivision 5. If the rate so determined
is less than ten percent, the rate of interest shall be ten percent. The maximum per annum
rate shall be 14 percent if the rate specified under section 270C.40, subdivision 5, exceeds
14 percent. The rate shall be subject to change on January 1 of each year.

deleted text begin (b) deleted text end new text begin (c) new text end If a person is the owner of one or more parcels of property on which taxes
are delinquent, and the delinquent taxes are more than 25 percent of the prior deleted text begin year's deleted text end
school district levy, interest on the delinquent property taxes, penalties, and costs unpaid
after January 1, 1992, shall be payable at twice the rate determined under paragraph
deleted text begin (a) deleted text end new text begin (b) new text end for the year.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective the day following final enactment.
new text end

Sec. 2.

Minnesota Statutes 2004, section 279.03, subdivision 2, is amended to read:

Subd. 2.

Composite judgment.

deleted text begin Amounts included in composite judgments
authorized by section 279.37, subdivision 1, and confessed on or after July 1, 1982, are
subject to interest at the rate determined pursuant to section 549.09. Amounts confessed
under this authority after December 31, 1990, are subject to interest at the rate calculated
under subdivision 1a. During each calendar year, interest shall accrue on the unpaid
balance of the composite judgment from the time it is confessed until it is paid. The
rate of interest is subject to change each year in the same manner that section 549.09 or
subdivision 1a, whichever is applicable, for rate changes. Interest on the unpaid contract
balance on judgments confessed before July 1, 1982, is payable at the rate applicable to
the judgment at the time that it was confessed.
deleted text end

new text begin Amounts included in composite judgements authorized by section 279.37,
subdivision 1, are subject to the following interest rates:
new text end

new text begin (a) Amounts confessed on or after January 1, 2007, are subject to interest at the rate
calculated under subdivision 1a, paragraph (a).
new text end

new text begin (b) Amounts confessed after December 31, 1990, and before January 1, 2007, are
subject to interest at the rate calculated under subdivision 1a, paragraph (b).
new text end

new text begin (c) Amounts confessed on or after July 1, 1982, and before January 1, 1991, are
subject to interest at the rate determined under section 549.09.
new text end

new text begin (d) During each calendar year, interest shall accrue on the unpaid balance of the
composite judgement from the time it is confessed until it is paid. The rate of interest is
subject to change each year in the same manner as section 549.09 or subdivision 1a,
whichever is applicable, for rate changes. Interest on the unpaid contract balance on
judgements confessed before July 1, 1982, is payable at the rate applicable to the judgment
at the time that it was confessed.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective the day following final enactment.
new text end