1997 Minnesota Statutes

     273.1391 Supplementary homestead property tax relief. 

    Subdivision 1.  The property tax to be paid in respect to 
 property taxable within a tax relief area described in 
 subdivision 2 on homestead property, as otherwise determined by 
 law and regardless of the market value of the property, for all 
 purposes shall be reduced in the amount prescribed by 
 subdivision 2, subject to the limitations contained therein.  

    Subd. 2.  The amount of the reduction authorized by 
 subdivision 1 shall be: 

    (a) In the case of property located within a school 
 district which does not meet the qualifications of section 
 273.134 as a tax relief area, but which is located in a county 
 with a population of less than 100,000 in which taconite is 
 mined or quarried and wherein a school district is located which 
 does meet the qualifications of a tax relief area, and provided 
 that at least 90 percent of the area of the school district 
 which does not meet the qualifications of section 273.134 lies 
 within such county, 57 percent of the tax on qualified property 
 located in the school district that does not meet the 
 qualifications of section 273.134, provided that the amount of 
 said reduction shall not exceed the maximum amounts specified in 
 clause (c), and shall not exceed an amount sufficient to reduce 
 the effective tax rate on each parcel of property to the product 
 of 95 percent of the base year effective tax rate multiplied by 
 the ratio of the current year's tax rate to the payable 1989 tax 
 rate.  In no case will the reduction for each homestead 
 resulting from this credit be less than $10.  The reduction 
 provided by this clause shall only be applicable to property 
 located within the boundaries of the county described therein.  

    (b) In the case of property located within a school 
 district which does not meet the qualifications of section 
 273.134 as a tax relief area, but which is located in a school 
 district in a county containing a city of the first class and a 
 qualifying municipality, but not in a school district containing 
 a city of the first class or adjacent to a school district 
 containing a city of the first class unless the school district 
 so adjacent contains a qualifying municipality, 57 percent of 
 the tax, but not to exceed the maximums specified in clause (c), 
 and shall not exceed an amount sufficient to reduce the 
 effective tax rate on each parcel of property to the product of 
 95 percent of the base year effective tax rate multiplied by the 
 ratio of the current year's tax rate to the payable 1989 tax 
 rate.  In no case will the reduction for each homestead 
 resulting from this credit be less than $10. 

    (c) The maximum reduction of the tax is $200.10 for taxes 
 payable in 1985.  This maximum amount shall increase by $15 
 multiplied by the quantity one minus the homestead credit 
 equivalency percentage per year for taxes payable in 1986 and 
 subsequent years.  

    For the purposes of this subdivision, "homestead credit 
 equivalency percentage" means one minus the ratio of the net 
 class rate to the gross class rate applicable to the first 
 $72,000 of the market value of residential homesteads, and 
 "effective tax rate" means tax divided by the market value of a 
 property, and the "base year effective tax rate" means the 
 payable 1988 tax on a property with an identical market value to 
 that of the property receiving the credit in the current year 
 after application of the credits payable under Minnesota 
 Statutes 1988, section 273.13, subdivisions 22 and 23, and this 
 section, divided by the market value of the property. 

    Subd. 2a. Repealed, 1Sp1989 c 1 art 3 s 34 

    Subd. 3.  Not later than December 1, each county auditor 
 having jurisdiction over one or more tax relief areas defined in 
 subdivision 2 shall certify to the commissioner of revenue an 
 estimate of the total amount of the reduction, determined under 
 subdivision 2, in taxes payable the next succeeding year with 
 respect to all tax relief areas in the auditor's county.  The 
 commissioner shall make payments to the county by May 15 and 
 October 15 annually.  The county treasurer shall distribute as 
 part of the May and October settlements the funds received from 
 the commissioner. 

    Subd. 4.  For the purposes of this section, the amount of 
 property tax to be paid shall be determined after the allowance 
 of any reduction prescribed by section 273.13, and the reduction 
 prescribed by this section shall be in addition to that 
 prescribed by section 273.13.  

    Subd. 5.  A sum sufficient to make the payments required by 
 section 477A.15 and this section is annually appropriated from 
 the general fund to the commissioner of revenue for the purpose 
 of funding those sections.  

    HIST: 1980 c 607 art 7 s 7,11; 1983 c 342 art 2 s 22; 1984 c 
 502 art 7 s 5,6; 1984 c 593 s 31; 1Sp1985 c 14 art 4 s 64,65; 
 1986 c 444; 1Sp1986 c 1 art 4 s 23; 1987 c 268 art 6 s 26; 1988 
 c 719 art 5 s 23,82,83; 1989 c 277 art 2 s 31; 1Sp1989 c 1 art 2 
 s 11; art 3 s 12; 1990 c 480 art 7 s 8; 1992 c 511 art 4 s 7