2006 Minnesota Statutes

CHAPTER 290A. PROPERTY TAX REFUND

290A.01 CITATION.
This chapter may be cited as the "State of Minnesota Property Tax Refund Act."
History: 1975 c 437 art 1 s 1; 1977 c 423 art 2 s 1; 1Sp1981 c 4 art 1 s 137; 1984 c 514
art 4 s 17

290A.02 PURPOSE.
The purpose of this chapter is to provide property tax relief to certain persons who own or
rent their homesteads.
History: 1975 c 437 art 1 s 2; 1Sp1981 c 4 art 1 s 138; 1984 c 514 art 4 s 17

290A.03 DEFINITIONS.
    Subdivision 1. Generally. The following words, terms, and phrases when used in this
chapter shall have the meaning ascribed to them in this section, except where the context indicates
a different meaning.
    Subd. 2. Commissioner. "Commissioner" means the commissioner of revenue of the
state of Minnesota.
    Subd. 3. Income. (1) "Income" means the sum of the following:
(a) federal adjusted gross income as defined in the Internal Revenue Code; and
(b) the sum of the following amounts to the extent not included in clause (a):
(i) all nontaxable income;
(ii) the amount of a passive activity loss that is not disallowed as a result of section 469,
paragraph (i) or (m) of the Internal Revenue Code and the amount of passive activity loss
carryover allowed under section 469(b) of the Internal Revenue Code;
(iii) an amount equal to the total of any discharge of qualified farm indebtedness of a solvent
individual excluded from gross income under section 108(g) of the Internal Revenue Code;
(iv) cash public assistance and relief;
(v) any pension or annuity (including railroad retirement benefits, all payments received
under the federal Social Security Act, supplemental security income, and veterans benefits),
which was not exclusively funded by the claimant or spouse, or which was funded exclusively by
the claimant or spouse and which funding payments were excluded from federal adjusted gross
income in the years when the payments were made;
(vi) interest received from the federal or a state government or any instrumentality or
political subdivision thereof;
(vii) workers' compensation;
(viii) nontaxable strike benefits;
(ix) the gross amounts of payments received in the nature of disability income or sick pay as
a result of accident, sickness, or other disability, whether funded through insurance or otherwise;
(x) a lump sum distribution under section 402(e)(3) of the Internal Revenue Code of 1986, as
amended through December 31, 1995;
(xi) contributions made by the claimant to an individual retirement account, including a
qualified voluntary employee contribution; simplified employee pension plan; self-employed
retirement plan; cash or deferred arrangement plan under section 401(k) of the Internal Revenue
Code; or deferred compensation plan under section 457 of the Internal Revenue Code;
(xii) nontaxable scholarship or fellowship grants;
(xiii) the amount of deduction allowed under section 199 of the Internal Revenue Code; and
(xiv) the amount of deduction allowed under section 220 or 223 of the Internal Revenue
Code.
In the case of an individual who files an income tax return on a fiscal year basis, the term
"federal adjusted gross income" shall mean federal adjusted gross income reflected in the
fiscal year ending in the calendar year. Federal adjusted gross income shall not be reduced by
the amount of a net operating loss carryback or carryforward or a capital loss carryback or
carryforward allowed for the year.
(2) "Income" does not include:
(a) amounts excluded pursuant to the Internal Revenue Code, sections 101(a) and 102;
(b) amounts of any pension or annuity which was exclusively funded by the claimant or
spouse and which funding payments were not excluded from federal adjusted gross income
in the years when the payments were made;
(c) surplus food or other relief in kind supplied by a governmental agency;
(d) relief granted under this chapter;
(e) child support payments received under a temporary or final decree of dissolution or
legal separation; or
(f) restitution payments received by eligible individuals and excludable interest as defined
in section 803 of the Economic Growth and Tax Relief Reconciliation Act of 2001, Public Law
107-16.
(3) The sum of the following amounts may be subtracted from income:
(a) for the claimant's first dependent, the exemption amount multiplied by 1.4;
(b) for the claimant's second dependent, the exemption amount multiplied by 1.3;
(c) for the claimant's third dependent, the exemption amount multiplied by 1.2;
(d) for the claimant's fourth dependent, the exemption amount multiplied by 1.1;
(e) for the claimant's fifth dependent, the exemption amount; and
(f) if the claimant or claimant's spouse was disabled or attained the age of 65 on or before
December 31 of the year for which the taxes were levied or rent paid, the exemption amount.
For purposes of this subdivision, the "exemption amount" means the exemption amount under
section 151(d) of the Internal Revenue Code for the taxable year for which the income is reported.
    Subd. 4. Household. "Household" means a claimant and an individual related to the claimant
as husband or wife who are domiciled in the same homestead.
    Subd. 5. Household income. "Household income" means all income received by all
persons of a household in a calendar year while members of the household, other than income
of a dependent.
    Subd. 6. Homestead. "Homestead" means the dwelling occupied as the claimant's principal
residence and so much of the land surrounding it, not exceeding ten acres, as is reasonably
necessary for use of the dwelling as a home and any other property used for purposes of a
homestead as defined in section 273.13, subdivision 22, except for agricultural land assessed as
part of a homestead pursuant to section 273.13, subdivision 23, "homestead" is limited to the
house and garage and immediately surrounding one acre of land. The homestead may be owned
or rented and may be a part of a multidwelling or multipurpose building and the land on which it
is built. A manufactured home, as defined in section 273.125, subdivision 8, or a park trailer taxed
as a manufactured home under section 168.012, subdivision 9, assessed as personal property may
be a dwelling for purposes of this subdivision.
    Subd. 7. Dependent. "Dependent" means any person who is considered a dependent under
sections 151 and 152 of the Internal Revenue Code. In the case of a son, stepson, daughter,
or stepdaughter of the claimant, amounts received as a Minnesota family investment program
grant, allowance to or on behalf of the child, surplus food, or other relief in kind supplied by a
governmental agency must not be taken into account in determining whether the child received
more than half of the child's support from the claimant.
    Subd. 8. Claimant. (a) "Claimant" means a person, other than a dependent, as defined under
sections 151 and 152 of the Internal Revenue Code disregarding section 152(b)(3) of the Internal
Revenue Code, who filed a claim authorized by this chapter and who was a resident of this state
as provided in chapter 290 during the calendar year for which the claim for relief was filed.
(b) In the case of a claim relating to rent constituting property taxes, the claimant shall have
resided in a rented or leased unit on which ad valorem taxes or payments made in lieu of ad
valorem taxes, including payments of special assessments imposed in lieu of ad valorem taxes,
are payable at some time during the calendar year covered by the claim.
(c) "Claimant" shall not include a resident of a nursing home, intermediate care facility,
long-term residential facility, or a facility that accepts group residential housing payments
whose rent constituting property taxes is paid pursuant to the supplemental security income
program under title XVI of the Social Security Act, the Minnesota supplemental aid program
under sections 256D.35 to 256D.54, the medical assistance program pursuant to title XIX of the
Social Security Act, the general assistance medical care program pursuant to section 256D.03,
subdivision 3 , or the group residential housing program under chapter 256I.
If only a portion of the rent constituting property taxes is paid by these programs, the resident shall
be a claimant for purposes of this chapter, but the refund calculated pursuant to section 290A.04
shall be multiplied by a fraction, the numerator of which is income as defined in subdivision 3,
paragraphs (1) and (2), reduced by the total amount of income from the above sources other than
vendor payments under the medical assistance program or the general assistance medical care
program and the denominator of which is income as defined in subdivision 3, paragraphs (1) and
(2), plus vendor payments under the medical assistance program or the general assistance medical
care program, to determine the allowable refund pursuant to this chapter.
(d) Notwithstanding paragraph (c), if the claimant was a resident of the nursing home,
intermediate care facility, long-term residential facility, or facility for which the rent was paid
for the claimant by the group residential housing program for only a portion of the calendar year
covered by the claim, the claimant may compute rent constituting property taxes by disregarding
the rent constituting property taxes from the nursing home or facility and use only that amount
of rent constituting property taxes or property taxes payable relating to that portion of the year
when the claimant was not in the facility. The claimant's household income is the income for
the entire calendar year covered by the claim.
(e) In the case of a claim for rent constituting property taxes of a part-year Minnesota
resident, the income and rental reflected in this computation shall be for the period of Minnesota
residency only. Any rental expenses paid which may be reflected in arriving at federal adjusted
gross income cannot be utilized for this computation. When two individuals of a household are
able to meet the qualifications for a claimant, they may determine among them as to who the
claimant shall be. If they are unable to agree, the matter shall be referred to the commissioner of
revenue whose decision shall be final. If a homestead property owner was a part-year Minnesota
resident, the income reflected in the computation made pursuant to section 290A.04 shall be for
the entire calendar year, including income not assignable to Minnesota.
(f) If a homestead is occupied by two or more renters, who are not husband and wife, the
rent shall be deemed to be paid equally by each, and separate claims shall be filed by each. The
income of each shall be each renter's household income for purposes of computing the amount of
credit to be allowed.
    Subd. 9. Disabled claimant. "Disabled claimant" means any claimant who has a disability.
    Subd. 10. Disability. "Disability" means:
(a) Inability to engage in any substantial gainful activity by reason of any medically
determinable physical or mental impairment which can be expected to result in death or has lasted
or can be expected to last for a continuous period of not less than 12 months, or
(b) Blindness; and the term "blindness" means central acuity of 20/200 or less in the better
eye with the use of a correcting lens. An eye which is accompanied by a limitation in the fields
of vision such that the widest diameter of the visual field subtends an angle no greater than 20
degrees shall be considered as having a central visual acuity of 20/200 or less.
(c) An individual shall be determined to be under a disability only if the physical or
mental impairment or impairments are of such severity that the individual is not only unable to
do previous work but cannot, considering age, education, and work experience, engage in any
other kind of substantial gainful work which exists in the state economy, regardless of whether
the work exists in the immediate area of residence, or whether a specific job vacancy exists for
the individual, or whether the individual would be hired on applying for work. For purposes of
the preceding sentence, "work which exists in the state economy" means work which exists in
significant numbers either in the area where the individual lives or in several areas of the state.
(d) A "physical or mental impairment" is an impairment that results from anatomical,
physiological, or psychological abnormalities which are demonstrable by medically acceptable
clinical and laboratory diagnostic techniques.
    Subd. 11. Rent constituting property taxes. "Rent constituting property taxes" means 19
percent of the gross rent actually paid in cash, or its equivalent, or the portion of rent paid in lieu
of property taxes, in any calendar year by a claimant for the right of occupancy of the claimant's
Minnesota homestead in the calendar year, and which rent constitutes the basis, in the succeeding
calendar year of a claim for relief under this chapter by the claimant.
    Subd. 12. Gross rent. (a) "Gross rent" means rental paid for the right of occupancy, at arm's
length, of a homestead, exclusive of charges for any medical services furnished by the landlord as
a part of the rental agreement, whether expressly set out in the rental agreement or not.
(b) The gross rent of a resident of a nursing home or intermediate care facility is $350 per
month. The gross rent of a resident of an adult foster care home is $550 per month. Beginning
for rent paid in 2002, the commissioner shall annually adjust for inflation the gross rent amounts
stated in this paragraph. The adjustment must be made in accordance with section 1(f) of the
Internal Revenue Code, except that for purposes of this paragraph the percentage increase shall
be determined from the year ending on June 30, 2001, to the year ending on June 30 of the
year in which the rent is paid. The commissioner shall round the gross rents to the nearest $10
amount. If the amount ends in $5, the commissioner shall round it up to the next $10 amount. The
determination of the commissioner under this paragraph is not a rule under the Administrative
Procedure Act.
(c) If the landlord and tenant have not dealt with each other at arm's length and the
commissioner determines that the gross rent charged was excessive, the commissioner may adjust
the gross rent to a reasonable amount for purposes of this chapter.
(d) Any amount paid by a claimant residing in property assessed pursuant to section 273.124,
subdivision 3 , 4, 5, or 6 for occupancy in that property shall be excluded from gross rent for
purposes of this chapter. However, property taxes imputed to the homestead of the claimant
or the dwelling unit occupied by the claimant that qualifies for homestead treatment pursuant
to section 273.124, subdivision 3, 4, 5, or 6 shall be included within the term "property taxes
payable" as defined in subdivision 13, notwithstanding the fact that ownership is not in the name
of the claimant.
    Subd. 12a.[Repealed, 1997 c 231 art 5 s 19]
    Subd. 13. Property taxes payable. "Property taxes payable" means the property tax
exclusive of special assessments, penalties, and interest payable on a claimant's homestead after
deductions made under sections 273.135, 273.1384, 273.1391, 273.42, subdivision 2, and any
other state paid property tax credits in any calendar year, and after any refund claimed and
allowable under section 290A.04, subdivision 2h, that is first payable in the year that the property
tax is payable. In the case of a claimant who makes ground lease payments, "property taxes
payable" includes the amount of the payments directly attributable to the property taxes assessed
against the parcel on which the house is located. No apportionment or reduction of the "property
taxes payable" shall be required for the use of a portion of the claimant's homestead for a business
purpose if the claimant does not deduct any business depreciation expenses for the use of a portion
of the homestead in the determination of federal adjusted gross income. For homesteads which
are manufactured homes as defined in section 273.125, subdivision 8, and for homesteads which
are park trailers taxed as manufactured homes under section 168.012, subdivision 9, "property
taxes payable" shall also include 19 percent of the gross rent paid in the preceding year for the
site on which the homestead is located. When a homestead is owned by two or more persons as
joint tenants or tenants in common, such tenants shall determine between them which tenant may
claim the property taxes payable on the homestead. If they are unable to agree, the matter shall
be referred to the commissioner of revenue whose decision shall be final. Property taxes are
considered payable in the year prescribed by law for payment of the taxes.
In the case of a claim relating to "property taxes payable," the claimant must have owned
and occupied the homestead on January 2 of the year in which the tax is payable and (i) the
property must have been classified as homestead property pursuant to section 273.124, on or
before December 15 of the assessment year to which the "property taxes payable" relate; or (ii)
the claimant must provide documentation from the local assessor that application for homestead
classification has been made on or before December 15 of the year in which the "property taxes
payable" were payable and that the assessor has approved the application.
    Subd. 14.[Repealed, 1997 c 231 art 5 s 19]
    Subd. 15. Internal Revenue Code. "Internal Revenue Code" means the Internal Revenue
Code of 1986, as amended through May 18, 2006.
History: 1975 c 359 s 23; 1975 c 437 art 1 s 3; 1976 c 245 s 2; 1976 c 268 s 2; 1976 c 334 s
15; 1977 c 376 s 12; 1977 c 423 art 2 s 2-8; 1978 c 721 art 9 s 2; 1979 c 303 art 2 s 28-30; 1980
c 419 s 43,44; 1980 c 607 art 3 s 1; 1981 c 60 s 24; 1981 c 178 s 112,113; 1981 c 343 s 36; 1981
c 365 s 9; 1Sp1981 c 1 art 3 s 2; art 5 s 9; art 8 s 16; 1Sp1981 c 4 art 1 s 139-143; 1982 c 523 art
1 s 63,64; art 8 s 1; art 36 s 2; art 40 s 13; 1983 c 15 s 28; 1983 c 294 s 4,5; 1983 c 342 art 1 s
40; art 4 s 1-5; 1984 c 514 art 1 s 7; art 2 s 32,33; art 3 s 8; art 4 s 10,11,17; 1984 c 522 s 9,10;
1984 c 655 art 1 s 51; 1985 c 210 art 1 s 17; art 2 s 9; 1Sp1985 c 14 art 1 s 58; art 4 s 85-88; art
5 s 1; 1986 c 444; 1Sp1986 c 1 art 1 s 8; art 3 s 20; art 4 s 38,39; 1987 c 268 art 3 s 1-3; art 6 s
46,47; 1988 c 719 art 3 s 10; art 4 s 1-4; art 5 s 84; 1989 c 28 s 25; 1989 c 277 art 2 s 46; 1989 c
329 art 15 s 20; 1990 c 480 art 5 s 10; 1990 c 604 art 2 s 16; art 5 s 1,2; 1991 c 199 art 2 s 1;
1991 c 291 art 6 s 40,41,46; 1992 c 511 art 6 s 19; art 7 s 19; 1993 c 13 art 2 s 9; 1993 c 375 art
6 s 1-3; art 8 s 14; 1994 c 416 art 1 s 40; 1994 c 465 art 2 s 1; 1994 c 587 art 1 s 24; 1995 c 186 s
119; 1995 c 264 art 1, s 4; art 3 s 22,23; art 4 s 10; 1996 c 471 art 3 s 52; 1997 c 231 art 1 s 14;
art 2 s 70; art 5 s 11-13; art 6 s 24; 1998 c 389 art 2 s 18,19; art 7 s 9,10; 1999 c 159 s 128; 1999
c 243 art 2 s 28; art 3 s 5; art 5 s 27; 2000 c 490 art 12 s 4; 1Sp2001 c 5 art 4 s 1,2; art 7 s 44; art
10 s 9; 2002 c 377 art 2 s 12; art 10 s 17; 2002 c 379 art 1 s 67; 2003 c 127 art 2 s 20; art 4 s 4;
1Sp2003 c 21 art 3 s 4; 1Sp2005 c 3 art 4 s 16,17; 2006 c 259 art 2 s 7

290A.04 REFUND ALLOWABLE.
    Subdivision 1. Refund. A refund shall be allowed each claimant in the amount that property
taxes payable or rent constituting property taxes exceed the percentage of the household income
of the claimant specified in subdivision 2 or 2a in the year for which the taxes were levied or in
the year in which the rent was paid as specified in subdivision 2 or 2a. If the amount of property
taxes payable or rent constituting property taxes is equal to or less than the percentage of the
household income of the claimant specified in subdivision 2 or 2a in the year for which the taxes
were levied or in the year in which the rent was paid, the claimant shall not be eligible for a
state refund pursuant to this section.
    Subd. 2. Homeowners. A claimant whose property taxes payable are in excess of the
percentage of the household income stated below shall pay an amount equal to the percent of
income shown for the appropriate household income level along with the percent to be paid by the
claimant of the remaining amount of property taxes payable. The state refund equals the amount
of property taxes payable that remain, up to the state refund amount shown below.

Household Income

Percent of Income

Percent Paid by Claimant

Maximum State Refund

	$0 to 1,189	1.0 percent	15 percent		$1,450
	1,190 to 2,379	1.1 percent	15 percent		$1,450
	2,380 to 3,589	1.2 percent	15 percent		$1,410
	3,590 to 4,789	1.3 percent	20 percent		$1,410
	4,790 to 5,979	1.4 percent	20 percent		$1,360
	5,980 to 8,369	1.5 percent	20 percent		$1,360
	8,370 to 9,559	1.6 percent	25 percent		$1,310
	9,560 to 10,759	1.7 percent	25 percent		$1,310
	10,760 to 11,949	1.8 percent	25 percent		$1,260
	11,950 to 13,139	1.9 percent	30 percent		$1,260
	13,140 to 14,349	2.0 percent	30 percent		$1,210
	14,350 to 16,739	2.1 percent	30 percent		$1,210
	16,740 to 17,929	2.2 percent	35 percent		$1,160
	17,930 to 19,119	2.3 percent	35 percent		$1,160
	19,120 to 20,319	2.4 percent	35 percent		$1,110
	20,320 to 25,099	2.5 percent	40 percent		$1,110
	25,100 to 28,679	2.6 percent	40 percent		$1,070
	28,680 to 35,849	2.7 percent	40 percent		$1,070
	35,850 to 41,819	2.8 percent	45 percent		$ 970
	41,820 to 47,799	3.0 percent	45 percent		$ 970
	47,800 to 53,779	3.2 percent	45 percent		$ 870
	53,780 to 59,749	3.5 percent	50 percent		$ 780
	59,750 to 65,729	4.0 percent	50 percent		$ 680
	65,730 to 69,319	4.0 percent	50 percent		$ 580
	69,320 to 71,719	4.0 percent	50 percent		$ 480
	71,720 to 74,619	4.0 percent	50 percent		$ 390
	74,620 to 77,519	4.0 percent	50 percent		$ 290

The payment made to a claimant shall be the amount of the state refund calculated under this
subdivision. No payment is allowed if the claimant's household income is $77,520 or more.
    Subd. 2a. Renters. A claimant whose rent constituting property taxes exceeds the percentage
of the household income stated below must pay an amount equal to the percent of income shown
for the appropriate household income level along with the percent to be paid by the claimant of the
remaining amount of rent constituting property taxes. The state refund equals the amount of rent
constituting property taxes that remain, up to the maximum state refund amount shown below.

Household Income

Percent of Income

Percent Paid by Claimant

Maximum State Refund

	$0 to 3,589	1.0 percent	5 percent		$1,190
	3,590 to 4,779	1.0 percent	10 percent		$1,190
	4,780 to 5,969	1.1 percent	10 percent		$1,190
	5,970 to 8,369	1.2 percent	10 percent		$1,190
	8,370 to 10,759	1.3 percent	15 percent		$1,190
	10,760 to 11,949	1.4 percent	15 percent		$1,190
	11,950 to 13,139	1.4 percent	20 percent		$1,190
	13,140 to 15,539	1.5 percent	20 percent		$1,190
	15,540 to 16,729	1.6 percent	20 percent		$1,190
	16,730 to 17,919	1.7 percent	25 percent		$1,190
	17,920 to 20,319	1.8 percent	25 percent		$1,190
	20,320 to 21,509	1.9 percent	30 percent		$1,190
	21,510 to 22,699	2.0 percent	30 percent		$1,190
	22,700 to 23,899	2.2 percent	30 percent		$1,190
	23,900 to 25,089	2.4 percent	30 percent		$1,190
	25,090 to 26,289	2.6 percent	35 percent		$1,190
	26,290 to 27,489	2.7 percent	35 percent		$1,190
	27,490 to 28,679	2.8 percent	35 percent		$1,190
	28,680 to 29,869	2.9 percent	40 percent		$1,190
	29,870 to 31,079	3.0 percent	40 percent		$1,190
	31,080 to 32,269	3.1 percent	40 percent		$1,190
	32,270 to 33,459	3.2 percent	40 percent		$1,190
	33,460 to 34,649	3.3 percent	45 percent		$1,080
	34,650 to 35,849	3.4 percent	45 percent		$ 960
	35,850 to 37,049	3.5 percent	45 percent		$ 830
	37,050 to 38,239	3.5 percent	50 percent		$ 720
	38,240 to 39,439	3.5 percent	50 percent		$ 600
	38,440 to 40,629	3.5 percent	50 percent		$ 360
	40,630 to 41,819	3.5 percent	50 percent		$ 120

The payment made to a claimant is the amount of the state refund calculated under this
subdivision. No payment is allowed if the claimant's household income is $41,820 or more.
    Subd. 2b.MS 1984 [Repealed, 1Sp1985 c 14 art 5 s 7]
    Subd. 2b. Tables may be reconstructed. The commissioner may reconstruct the tables in
subdivision 2 for homeowners to reflect the elimination of the homestead credit beginning for
claims based on taxes payable in 1990.
    Subd. 2c.[Repealed, 1983 c 15 s 33]
    Subd. 2d.[Repealed, 1983 c 15 s 33]
    Subd. 2e.[Repealed, 1987 c 268 art 3 s 13]
    Subd. 2f.[Repealed, 1Sp1986 c 1 art 3 s 21]
    Subd. 2g.[Repealed, 1987 c 268 art 3 s 13]
    Subd. 2h. Additional refund. (a) If the gross property taxes payable on a homestead increase
more than 12 percent over the property taxes payable in the prior year on the same property
that is owned and occupied by the same owner on January 2 of both years, and the amount of
that increase is $100 or more, a claimant who is a homeowner shall be allowed an additional
refund equal to 60 percent of the amount of the increase over the greater of 12 percent of the
prior year's property taxes payable or $100. This subdivision shall not apply to any increase
in the gross property taxes payable attributable to improvements made to the homestead after
the assessment date for the prior year's taxes. This subdivision shall not apply to any increase
in the gross property taxes payable attributable to the termination of valuation exclusions under
section 273.11, subdivision 16.
The maximum refund allowed under this subdivision is $1,000.
(b) For purposes of this subdivision "gross property taxes payable" means property taxes
payable determined without regard to the refund allowed under this subdivision.
(c) In addition to the other proofs required by this chapter, each claimant under this
subdivision shall file with the property tax refund return a copy of the property tax statement for
taxes payable in the preceding year or other documents required by the commissioner.
(d) Upon request, the appropriate county official shall make available the names and
addresses of the property taxpayers who may be eligible for the additional property tax refund
under this section. The information shall be provided on a magnetic computer disk. The county
may recover its costs by charging the person requesting the information the reasonable cost for
preparing the data. The information may not be used for any purpose other than for notifying the
homeowner of potential eligibility and assisting the homeowner, without charge, in preparing
a refund claim.
    Subd. 2i.[Repealed, 1995 c 264 art 15 s 6]
    Subd. 2j.[Repealed, 1Sp2001 c 5 art 7 s 66]
    Subd. 3. Table. The commissioner of revenue shall construct and make available to taxpayers
a comprehensive table showing the property taxes to be paid and refund allowed at various levels
of income and assessment. The table shall follow the schedule of income percentages, maximums
and other provisions specified in subdivision 2, except that the commissioner may graduate the
transition between income brackets. All refunds shall be computed in accordance with tables
prepared and issued by the commissioner of revenue.
The commissioner shall include on the form an appropriate space or method for the claimant
to identify if the property taxes paid are for a manufactured home, as defined in section 273.125,
subdivision 8 , paragraph (c), or a park trailer taxed as a manufactured home under section
168.012, subdivision 9.
    Subd. 4. Inflation adjustment. Beginning for property tax refunds payable in calendar year
2002, the commissioner shall annually adjust the dollar amounts of the income thresholds and the
maximum refunds under subdivisions 2 and 2a for inflation. The commissioner shall make the
inflation adjustments in accordance with section 1(f) of the Internal Revenue Code, except that for
purposes of this subdivision the percentage increase shall be determined from the year ending on
June 30, 2000, to the year ending on June 30 of the year preceding that in which the refund is
payable. The commissioner shall use the appropriate percentage increase to annually adjust the
income thresholds and maximum refunds under subdivisions 2 and 2a for inflation without regard
to whether or not the income tax brackets are adjusted for inflation in that year. The commissioner
shall round the thresholds and the maximum amounts, as adjusted to the nearest $10 amount. If
the amount ends in $5, the commissioner shall round it up to the next $10 amount.
The commissioner shall annually announce the adjusted refund schedule at the same time
provided under section 290.06. The determination of the commissioner under this subdivision is
not a rule under the Administrative Procedure Act.
    Subd. 5. Combined renter and homeowner refund. In the case of a claimant who is
entitled to a refund in a calendar year for claims based both on rent constituting property taxes
and property taxes payable, the refund allowable equals the sum of the refunds allowable.
    Subd. 6.[Renumbered subd 4]
History: 1975 c 437 art 1 s 4; 1976 c 245 s 3,4; 1977 c 423 art 2 s 9-11; 1978 c 766 s 9,10;
1979 c 303 art 2 s 31-34; 1980 c 607 art 3 s 2; 1981 c 178 s 114,115; 1Sp1981 c 1 art 2 s 19,20;
1983 c 15 s 29; 1983 c 342 art 4 s 6-12; 1984 c 502 art 3 s 21-23; 1984 c 514 art 4 s 12,13;
1Sp1985 c 14 art 4 s 89; art 5 s 2-4; 1986 c 444; 1987 c 268 art 3 s 4-6; art 6 s 48; 1988 c 719 art
4 s 5-7; 1989 c 356 s 37; 1Sp1989 c 1 art 7 s 1-5,9; 1990 c 480 art 5 s 11-13; 1990 c 604 art 5 s
3-5; 1991 c 199 art 2 s 21; 1991 c 291 art 1 s 34; 1992 c 511 art 2 s 30; 1993 c 375 art 2 s 32,33;
art 3 s 48; art 6 s 4,5; 1994 c 383 s 1; 1994 c 587 art 4 s 1-4; 1995 c 264 art 3 s 24; art 4 s 11; art
15 s 3,4,6; 1996 c 471 art 3 s 33,52; 1997 c 31 art 1 s 18; 1997 c 84 art 1 s 4; 1997 c 231 art 2 s
70; art 5 s 14; 1Sp2001 c 5 art 4 s 3-6; 2002 c 377 art 10 s 18

290A.045 [Repealed, 1990 c 604 art 5 s 7]

290A.05 COMBINED HOUSEHOLD INCOME.
If a person occupies a homestead with another person or persons not related to the person as
husband and wife, excluding dependents, roomers or boarders on contract, and has property tax
payable with respect to the homestead, the household income of the claimant or claimants for
the purpose of computing the refund allowed by section 290A.04 shall include the total income
received by the other persons residing in the homestead. For purposes of this section, "dependent"
includes a parent of the claimant or spouse who lives in the claimant's homestead and does not
have an ownership interest in the homestead. If a person occupies a homestead with another
person or persons not related as husband and wife or as dependents, the property tax payable or
rent constituting property tax shall be reduced as follows.
If the other person or persons are residing at the homestead under rental or lease agreement,
the amount of property tax payable or rent constituting property tax shall be that portion not
covered by the rental agreement.
History: 1975 c 437 art 1 s 5; 1977 c 423 art 2 s 12; 1983 c 294 s 6; 1984 c 522 s 11;
1991 c 291 art 6 s 42

290A.055 [Repealed, 1997 c 231 art 2 s 70]

290A.06 [Repealed, 1990 c 480 art 1 s 45]

290A.07 CLAIMS PAYMENTS.
    Subdivision 1. Authority. Allowable claims filed pursuant to the provisions of this chapter
shall be paid by the commissioner from the general fund.
    Subd. 2.[Repealed, 1982 c 641 art 2 s 13]
    Subd. 2a. Time of payment to renter or manufactured home homeowner. A claimant
who is a renter or a homeowner who occupies a manufactured home, as defined in section
273.125, subdivision 8, paragraph (c), or a park trailer taxed as a manufactured home under
section 168.012, subdivision 9, shall receive full payment after August 1 and before August 15
or 60 days after receipt of the application, whichever is later.
    Subd. 3. Time of payment to other claimants. A claimant not included in subdivision 2a
shall receive full payment after September 15 and before September 30.
    Subd. 4.[Repealed, 1981 c 343 s 43]
    Subd. 5. Early payment; e-file claims. The commissioner may pay a claim up to 30
days earlier than the first permitted date under subdivision 2a or 3 if the claim is submitted
by electronic means.
History: 1975 c 437 art 1 s 7; 1980 c 419 s 45; 1981 c 178 s 117; 1981 c 343 s 37,38;
1Sp1981 c 3 s 6-8; 1982 c 523 art 1 s 65; 1982 c 641 art 2 s 2,3; 1983 c 342 art 4 s 13; 1984 c
514 art 3 s 9,10; 1Sp1985 c 14 art 15 s 11,12; 1Sp1989 c 1 art 7 s 6; 1990 c 480 art 1 s 36,37;
1993 c 375 art 3 s 48; 1995 c 264 art 3 s 25; art 4 s 13; 1996 c 471 art 3 s 52; 1997 c 231 art 2 s
70; 2005 c 151 art 3 s 13

290A.08 ONE CLAIMANT PER HOUSEHOLD.
Only one claimant per household per year is entitled to relief under this chapter. Payment
of the claim for relief may be made payable to the husband and wife as one claimant. The
commissioner, upon written request, may issue separate checks, to the husband and wife for
one-half of the relief provided the original check has not been issued or has been returned.
Individuals related as husband and wife who were married during the year may elect to file a joint
claim which shall include each spouse's income, rent constituting property taxes, and property
taxes payable. Husbands and wives who were married for the entire year and were domiciled
in the same household for the entire year must file a joint claim. The maximum dollar amount
allowable for a joint claim shall not exceed the amount that one person could receive.
History: 1975 c 437 art 1 s 8; 1977 c 423 art 2 s 13; 1981 c 343 s 39; 1Sp1981 c 4 art 1 s
144; 1984 c 514 art 4 s 17; 1994 c 510 art 1 s 9

290A.09 PROOF OF CLAIM.
Every claimant shall supply to the department of revenue, in support of the claim, proof of
eligibility under this chapter, including but not limited to amount of rent paid or property taxes
accrued, name and address of owner or managing agent of property rented, changes in homestead,
household membership, household income, size and nature of property claimed as a homestead.
Disabled persons filing claims shall submit proof of disability in the form and manner as
the department may prescribe. The department may require examination and certification by the
claimant's physician or by a physician designated by the department. The cost of any examination
shall be borne by the claimant, unless the examination proves the disability, in which case the cost
of the examination shall be borne by the department.
A determination of disability of a claimant by the Social Security Administration under Title
II or Title XVI of the Social Security Act shall constitute presumptive proof of disability.
History: 1975 c 437 art 1 s 9; 1Sp1981 c 4 art 1 s 145; 1984 c 514 art 4 s 17; 1986 c 444

290A.091 CLAIMS OF TENANTS IN LEASEHOLD COOPERATIVES.
The cooperative manager of a leasehold cooperative shall furnish a statement to each tenant
by March 31 of the year in which the property tax is payable showing each unit's share of the
gross property tax and each unit's share of any property tax credits. Each tenant may apply for a
property tax refund under this chapter as a homeowner based on each tenant's share of property
taxes. The tenant may not include any rent constituting property taxes paid on that unit. For the
purposes of this section, a leasehold cooperative is formed on the day that leasehold cooperative
status is granted by the appropriate county official.
History: 1987 c 268 art 3 s 8; 1991 c 291 art 6 s 43

290A.10 PROOF OF TAXES PAID.
Every claimant who files a claim for relief for property taxes payable shall include with the
claim a property tax statement or a reproduction thereof in a form deemed satisfactory by the
commissioner of revenue indicating that there are no delinquent property taxes on the homestead.
Indication on the property tax statement from the county treasurer that there are no delinquent
taxes on the homestead shall be sufficient proof. Taxes included in a confession of judgment
under section 279.37 shall not constitute delinquent taxes as long as the claimant is current on the
payments required to be made under section 279.37.
History: 1975 c 437 art 1 s 10; 1977 c 423 art 2 s 14; 1986 c 444

290A.11 OBJECTIONS TO CLAIMS.
    Subdivision 1.[Repealed, 1990 c 480 art 1 s 45]
    Subd. 1a.[Repealed, 1990 c 480 art 1 s 45]
    Subd. 2.[Repealed, 1990 c 480 art 1 s 45]
    Subd. 3.[Repealed, 1990 c 480 art 1 s 45]
    Subd. 4.[Repealed, 1990 c 480 art 1 s 45]
    Subd. 5. Assignment of refund. The commissioner shall not honor an assignment by the
claimant to another person or entity of a property tax refund prior to the refund check being
presented to the claimant.
History: 1975 c 437 art 1 s 11; 1976 c 134 s 78; 1977 c 307 s 29; 1978 c 767 s 23; 1980 c
607 art 3 s 4; 1981 c 343 s 40,41; 1Sp1981 c 4 art 1 s 146; 1982 c 523 art 1 s 66; 1983 c 294 s 7;
1984 c 514 art 4 s 17; 1984 c 628 art 3 s 11; 1985 c 210 art 1 s 18,19; 1987 c 268 art 17 s 19;
1988 c 719 art 5 s 84; 1989 c 329 art 13 s 20

290A.111 [Repealed, 1990 c 480 art 1 s 45]

290A.112 [Repealed, 1990 c 480 art 1 s 45]

290A.12 [Repealed, 1990 c 480 art 1 s 45]

290A.13 NO RELIEF ALLOWED IN CERTAIN CASES.
No claim for relief under this chapter shall be allowed if the commissioner determines that
the claimant received title or tenancy to the homestead primarily for the purpose of receiving
benefits under this chapter and not for bona fide residence purposes.
History: 1975 c 437 art 1 s 13; 1Sp1981 c 4 art 1 s 147; 1984 c 514 art 4 s 17; 1986 c 444

290A.14 PROPERTY TAX STATEMENT.
The county treasurer shall prepare and send a sufficient number of copies of the property tax
statement to the owner, and to the owner's escrow agent if the taxes are paid via an escrow account,
to enable the owner to comply with the filing requirements of this chapter and to retain one copy
as a record. The property tax statement, in a form prescribed by the commissioner, shall indicate
the manner in which the claimant may claim relief from the state under both this chapter and
chapter 290B, and the amount of the tax for which the applicant may claim relief. The statement
shall also indicate if there are delinquent property taxes on the property in the preceding year.
Taxes included in a confession of judgment under section 279.37 shall not constitute delinquent
taxes as long as the claimant is current on the payments required to be made under section 279.37.
History: 1975 c 437 art 1 s 14; 1976 c 334 s 17; 1977 c 423 art 2 s 15; 1986 c 444; 1998
c 389 art 5 s 2

290A.15 CLAIM APPLIED AGAINST OUTSTANDING LIABILITY.
The amount of any claim otherwise payable under this chapter may be applied by the
commissioner against any delinquent tax liability of any member of the household. If there are
two members of the household, the commissioner may apply only one-half of a refund to the
separate liability of either member of the household.
History: 1975 c 437 art 1 s 15; 1Sp1981 c 4 art 1 s 148; 1984 c 514 art 4 s 17; 1995 c 264
art 4 s 14; 1996 c 471 art 3 s 52; 1997 c 231 art 2 s 70; 1Sp2001 c 5 art 7 s 45

290A.16 [Repealed, 1984 c 514 art 4 s 18]

290A.17 [Repealed, 1989 c 184 art 1 s 20]

290A.18 RIGHT TO FILE CLAIM; RIGHT TO RECEIVE CREDIT.
    Subdivision 1. Claim by surviving spouse or dependent. If a person entitled to relief under
this chapter dies prior to receiving relief, the surviving spouse or dependent of the person shall
be entitled to file the claim and receive relief. If there is no surviving spouse or dependent, the
right to the credit shall lapse.
    Subd. 2. Claimant cannot be located. If the commissioner cannot locate the claimant within
two years from the date that the original warrant was issued, or if a claimant to whom a warrant
has been issued does not cash that warrant within two years from the date the warrant was issued,
the right to the credit shall lapse, and the warrant shall be deposited in the general fund.
History: 1975 c 437 art 1 s 18; 1977 c 423 art 2 s 16; 1980 c 607 art 3 s 6; 1983 c 342 art 4
s 14; 1984 c 514 art 4 s 17; 1987 c 268 art 3 s 9; 1994 c 510 art 1 s 10; 1995 c 264 art 4 s 15;
1996 c 471 art 3 s 52; 1997 c 231 art 2 s 70

290A.19 OWNER OR MANAGING AGENT TO FURNISH RENT CERTIFICATE.
The owner or managing agent of any property for which rent is paid for occupancy as a
homestead must furnish a certificate of rent paid to a person who is a renter on December 31, in
the form prescribed by the commissioner. If the renter moves before December 31, the owner or
managing agent may give the certificate to the renter at the time of moving, or mail the certificate
to the forwarding address if an address has been provided by the renter. The certificate must be
made available to the renter before February 1 of the year following the year in which the rent was
paid. The owner or managing agent must retain a duplicate of each certificate or an equivalent
record showing the same information for a period of three years. The duplicate or other record
must be made available to the commissioner upon request. For the purposes of this section,
"owner" includes a park owner as defined under section 327C.01, subdivision 6, and "property"
includes a lot as defined under section 327C.01, subdivision 3.
History: 1975 c 437 art 1 s 19; 1977 c 423 art 2 s 17; 1980 c 607 art 3 s 7; 1981 c 104 s 1;
1983 c 289 s 115 subd 1; 1983 c 342 art 4 s 15; 1984 c 595 s 8; 1985 c 210 art 1 s 20; 1Sp1985
c 14 art 5 s 6; 1986 c 444; 1987 c 268 art 3 s 10; 1990 c 480 art 1 s 38; 1990 c 604 art 5 s 6;
1992 c 511 art 7 s 20,25; 1994 c 592 s 1; 1997 c 231 art 5 s 15

290A.20 RULES.
The commissioner shall promulgate rules which the commissioner deems appropriate for the
administration of this chapter and shall also make available forms with instructions for claimants
as the commissioner deems necessary for the proper administration of this chapter. The claim
shall be in the form the commissioner may prescribe.
History: 1975 c 437 art 1 s 20; 1Sp1981 c 4 art 1 s 151; 1984 c 514 art 4 s 17; 1985 c
248 s 70; 1986 c 444

290A.21 [Repealed, 1977 c 423 art 2 s 20]

290A.22 [Repealed, 1999 c 159 s 154]

290A.23 APPROPRIATION.
    Subdivision 1. Renters credit. There is appropriated from the general fund in the state
treasury to the commissioner of revenue the amount necessary to make the payments required
under section 290A.04, subdivision 2a.
    Subd. 2.[Repealed, 1994 c 587 art 3 s 21 para (b)]
    Subd. 3. Annual appropriation. For payments made after July 1, 1996, there is annually
appropriated from the general fund to the commissioner of revenue the amount necessary to make
the payments required under section 290A.04, subdivisions 2 and 2h.
History: 1977 c 423 art 2 s 18; 1992 c 511 art 1 s 11; 1993 c 375 art 6 s 6; 1994 c 587 art 4
s 5; 1994 c 587 art 3 s 11

290A.24 [Repealed, 1993 c 192 s 110]

290A.25 VERIFICATION OF SOCIAL SECURITY NUMBERS.
Annually, the commissioner of revenue shall furnish a list to the county assessor containing
the names and Social Security numbers of persons who have applied for both homestead
classification under section 273.13 and a property tax refund as a renter under this chapter.
Within 90 days of the notification, the county assessor shall investigate to determine if the
homestead classification was improperly claimed. If the property owner does not qualify, the
county assessor shall notify the county auditor who will determine the amount of homestead
benefits that has been improperly allowed. For the purpose of this section, "homestead benefits"
has the meaning given in section 273.124, subdivision 13, paragraph (h). The county auditor shall
send a notice to persons who owned the affected property at the time the homestead application
related to the improper homestead was filed, demanding reimbursement of the homestead benefits
plus a penalty equal to 100 percent of the homestead benefits. The person notified may appeal the
county's determination with the Minnesota Tax Court within 60 days of the date of the notice
from the county as provided in section 273.124, subdivision 13, paragraph (h).
If the amount of homestead benefits and penalty is not paid within 60 days, and if no appeal
has been filed, the county auditor shall certify the amount of taxes and penalty to the county
treasurer. The county treasurer will add interest to the unpaid homestead benefits and penalty
amounts at the rate provided for delinquent personal property taxes for the period beginning 60
days after demand for payment was made until payment. If the person notified is the current
owner of the property, the treasurer may add the total amount of benefits, penalty, interest, and
costs to the real estate taxes otherwise payable on the property in the following year. If the person
notified is not the current owner of the property, the treasurer may collect the amounts due under
the Revenue Recapture Act in chapter 270A, or use any of the powers granted in sections 277.20
and 277.21 without exclusion, to enforce payment of the benefits, penalty, interest, and costs, as if
those amounts were delinquent tax obligations of the person who owned the property at the time
the application related to the improperly allowed homestead was filed. The treasurer may relieve a
prior owner of personal liability for the benefits, penalty, interest, and costs, and instead extend
those amounts on the tax lists against the property for taxes payable in the following year to the
extent that the current owner agrees in writing.
Any amount of homestead benefits recovered by the county from the property owner shall
be distributed to the county, city or town, and school district where the property is located in
the same proportion that each taxing district's levy was to the total of the three taxing districts'
levy for the current year. Any amount recovered attributable to taconite homestead credit shall
be transmitted to the St. Louis County auditor to be deposited in the taconite property tax relief
account. Any amount recovered that is attributable to supplemental homestead credit is to be
transmitted to the commissioner of revenue for deposit in the general fund of the state treasury.
The total amount of penalty collected must be deposited in the county general fund.
History: 1992 c 511 art 2 s 31; 1996 c 471 art 3 s 34

290A.26 [Repealed, 1997 c 231 art 2 s 70]

290A.27 ROUNDING.
In computing the dollar amount of items on the property tax refund claim form and
accompanying schedules, items may be rounded off to the nearest whole dollar amount,
disregarding amounts of less than 50 cents and increasing amounts of 50 cents to 99 cents to the
next highest dollar.
History: 1996 c 471 art 3 s 35