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290B.05 MAXIMUM PROPERTY TAX AMOUNT AND DEFERRED PROPERTY TAX
AMOUNT.
    Subdivision 1. Determination by commissioner. The commissioner shall determine
each qualifying homeowner's "annual maximum property tax amount" following approval of
the homeowner's initial application and following the receipt of a resumption of eligibility
certification. The "annual maximum property tax amount" equals three percent of the homeowner's
total household income for the year preceding either the initial application or the resumption of
eligibility certification, whichever is applicable. Following approval of the initial application,
the commissioner shall determine the qualifying homeowner's "maximum allowable deferral."
No tax may be deferred relative to the appropriate assessment year for any homeowner whose
total household income for the previous year exceeds $60,000. No tax shall be deferred in any
year in which the homeowner does not meet the program qualifications in section 290B.03. The
maximum allowable total deferral is equal to 75 percent of the assessor's estimated market value
for the year, less the balance of any mortgage loans and other amounts secured by liens against
the property at the time of application, including any unpaid and delinquent special assessments
and interest and any delinquent property taxes, penalties, and interest, but not including property
taxes payable during the year.
    Subd. 2. Certification by commissioner. On or before December 1 of the year of initial
application, the commissioner shall certify to the county auditor of the county in which the
qualifying homestead is located (1) the annual maximum property tax amount; and (2) the
maximum allowable deferral. On or before December 1 of any year in which a homeowner files a
resumption of eligibility certification, the commissioner shall certify to the county auditor the new
annual maximum property tax amount to be used in calculating the deferral for subsequent years.
    Subd. 3. Calculation of deferred property tax amount. When final property tax amounts
for the following year have been determined, the county auditor shall calculate the "deferred
property tax amount." The deferred property tax amount is equal to the lesser of (1) the maximum
allowable deferral for the year; or (2) the difference between (i) the total amount of property
taxes and special assessments levied upon the qualifying homestead by all taxing jurisdictions
and (ii) the maximum property tax amount. For this purpose "special assessments" includes
any assessment, fee, or other charge that may by law, and which does, appear on the property
tax statement for the property for collection under the laws applicable to the enforcement of real
estate taxes. Any tax attributable to new improvements made to the property after the initial
application has been approved under section 290B.04, subdivision 2, must be excluded when
determining any subsequent deferred property tax amount. The county auditor shall annually,
on or before April 15, certify to the commissioner of revenue the property tax deferral amounts
determined under this subdivision by property and by owner.
    Subd. 4. Limitation on total amount of deferred taxes. The total amount of deferred taxes
and interest on a property, when added to (1) the balance owing on any mortgages on the property
at the time of initial application; and (2) other amounts secured by liens on the property at the
time of the initial application, may not exceed 75 percent of the assessor's current estimated
market value of the property.
History: 1997 c 231 art 14 s 8; 1998 c 389 art 5 s 9-11; 1999 c 243 art 5 s 32; 2000 c 490
art 5 s 22,23; 2005 c 151 art 5 s 37

Official Publication of the State of Minnesota
Revisor of Statutes