Minnesota Homestead Tax Credit
A penny saved…
The State of Minnesota allows you as a residential property owner to apply for homestead classification to receive a credit on your property tax bill. In order to qualify for the credit all three of the following must apply: You must be one of the owners. You must occupy as your primary residence and you must be a MN resident.
To receive the credit you must complete and sign an application providing your social security number and date of occupancy. All owners of the property are required to provide this information along with all spouses of owners regardless if they occupy the property. You must purchase and occupy the property prior to December 1st and the application must be submitted before December 15 to receive credit for the following tax year. To prove ownership you will generally provide a copy of the deed that put you into title along with a copy of the certificate of real estate value that should have been given to you at the time of closing. Once your property has been granted homestead classification, you do not need to reapply for the homestead classification.
The amount of the credit varies with the market value of the property. The maximum amount of the credit is $304 for a property with a value of $76,000. You will find that as the property's market value increases, the amount of the credit decreases. Even though the credit amount is small, it is worth the time to complete the short application to receive the reduction in property tax burden which becomes …a penny earned.
Source: Annette Theis, Land Title Inc. firstname.lastname@example.org
REALTOR, ABR, CRS, GRI