Minnesota’s Department of Revenue has several property tax refund programs available. One program is available for both eligible homeowners and renters based on income and property taxes paid, while the other is a special program for homeowners whose property taxes are increasing at a larger amount year to year.
State Sen. Carrie Ruud, R-Breezy Point, said, “As a proponent of growing a healthier economy and protecting hardworking taxpayers, I want to encourage my constituents to look into this often forgotten property tax refund program.”
To qualify for the regular Property Tax Refund program, an applicant must be a full- or part-year resident of Minnesota for the year, and cannot be claimed as a dependent. Eligibility is based on household income and property taxes paid on the applicant’s principal residence in Minnesota.
If the applicant for this program is a renter, household income for 2012 must be less than $56,220. Renters must have lived in a building that was subject to property taxes or “payments in lieu of property taxes.” The maximum refund for renters is $1,600.
If the applicant for this program is a homeowner, the home must be classified as your homestead and the applicant must have a household income of less than $103,730. Higher income limits apply if the applicant is a senior citizen or disabled. The applicant’s refund will depend on how high the property taxes are relative to income. The maximum refund for homeowners is $2,530.
The second program available is the Special Property Tax Refund. To qualify, a homeowner must have owned and lived in the same home on both Jan. 2, 2012, and Jan. 2, 2013. In addition, the net property tax on the homestead increased by more than 12 percent from 2012 to 2013. Last, the increase was at least $100 and wasn’t due to improvements made to the property.
There is no limit on household income for this special refund. Homeowners may qualify even if they don’t qualify for the regular property tax refund program. The maximum special refund is $1,000.
To file a 2012 property tax refund, the Minnesota Department of Revenue recommends that M1PR forms be submitted by Aug. 15. For questions and for the application forms (and to apply online), visit the Department of Revenue website at www.revenue.state.mn.us and click on “Property Tax Refund.”
The Department can also be reached at 651-296-3781 or 800-652-9094.