1.1                          A bill for an act 
  1.2             relating to taxation; providing an additional property 
  1.3             tax refund for elderly homeowners; amending Minnesota 
  1.4             Statutes 1998, sections 290A.04, by adding a 
  1.5             subdivision; and 290A.23, subdivision 3. 
  1.6   BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 
  1.7      Section 1.  Minnesota Statutes 1998, section 290A.04, is 
  1.8   amended by adding a subdivision to read: 
  1.9      Subd. 2k.  [ADDITIONAL REFUND.] A claimant who is a 
  1.10  homeowner is allowed a refund equal to the excess of the 
  1.11  claimant's net property taxes over six percent of the claimant's 
  1.12  household income.  In order to qualify for a refund under this 
  1.13  subdivision, the claimant or the spouse of the claimant must be 
  1.14  at least 65 years of age on December 31 of the year prior to the 
  1.15  year in which the taxes are payable and must have resided in the 
  1.16  homestead for at least ten consecutive years ending on December 
  1.17  31 of the year prior to the year in which the taxes are 
  1.18  payable.  No payment is allowed if the claimant's household 
  1.19  income exceeds $30,000.  This amount must be adjusted annually 
  1.20  beginning with refunds based on property taxes payable in 2002 
  1.21  according to the previous year's inflation adjustment under 
  1.22  section 290A.04, subdivision 4.  The commissioner of revenue may 
  1.23  require claimants to certify eligibility for the refund in a 
  1.24  form the commissioner prescribes.  For purposes of this 
  1.25  subdivision, "net property taxes" means property taxes payable 
  2.1   after reduction for all state paid aids or credits and after 
  2.2   deduction of the refund for which the claimant qualifies under 
  2.3   subdivisions 2 and 2h. 
  2.4      Sec. 2.  Minnesota Statutes 1998, section 290A.23, 
  2.5   subdivision 3, is amended to read: 
  2.6      Subd. 3.  [ANNUAL APPROPRIATION.] ~~For payments made after~~ 
  2.7   ~~July 1, 1996,~~ There is annually appropriated from the general 
  2.8   fund to the commissioner of revenue the amount necessary to make 
  2.9   the payments required under section 290A.04, subdivisions 2 ~~and~~, 
  2.10  2h, and 2k. 
  2.11     Sec. 3.  [EFFECTIVE DATE.] 
  2.12     Sections 1 and 2 are effective for property tax refunds 
  2.13  based on property taxes payable in 2001 and thereafter.