Don’t miss your share of the $ 25 million in unclaimed property tax credits, refunds – Twin Cities

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Each year, up to $ 25 million in property tax refunds go unclaimed by residents of Ramsey County, according to the Minnesota Department of Revenue. That’s a lot of money to leave on the table.

Ramsey County recently sent out property tax bill proposals for next year. If you’re looking for relief, here’s a list of multiple refunds homeowners can consider. Don’t live in Ramsey County? Check with your county assessor and visit the State Revenue Department’s property tax website at revenue.state.mn.us/property-taxes.

HOME CREDITS: Homeowners who have declared a home as their homestead or primary residence can receive an annual property tax credit of up to $ 2,840 from the state of Minnesota, as long as their household income is lower. at $ 116,180. The average reimbursement is $ 1,132. To declare your home your homestead, visit the county website at tinyurl.com/HomesteadRamCO for an application, which must be submitted to the county along with a copy of your deed, including the legal description. Depending on your living situation, you may need to submit additional forms, such as a copy of your certificate of real estate value if you have purchased your property in the past three months. The state provides more information on excluding the market value of the property online at tinyurl.com/HomesteadMN.

SPECIAL REFUNDS: Another often overlooked benefit is a special homestead credit that the state offers to anyone whose property taxes increase by more than 12% and $ 100 in a single year, regardless of household income. The special refund is 60 percent of the amount of tax paid that exceeds the 12 percent increase, to a maximum of $ 1,000. It is usually between $ 81 and $ 162 and can be claimed in addition to traditional homestead credit. The increase in property tax cannot be the result of home improvements. Look for the “special property tax refund” instructions on your M1PR property tax form. More information is online at tinyurl.com/HomesteadMN.

BLIND OR PERMANENT AND TOTALLY DISABLED: State law allows a reduced rate of property tax for owners who are blind or permanently disabled who occupy their property. File an application with the county assessor’s office. Visit the county website at tinyurl.com/HomesteadRamCO for instructions on homestead for people with disabilities.

TAX EXCLUSION FOR DISABLED VETERANS AFFAIRS: This program provides a property tax exclusion for the homestead of an honorably discharged veteran who has a service-related disability rating of 70 percent or more. Surviving spouses of certain eligible veterans and military personnel, as well as primary family caregivers of eligible veterans are also eligible. Depending on your status, the market value exclusion allows you to deduct $ 150,000 or $ 300,000 from the value of your home when calculating property taxes. Documentation should be filed with your county homestead application. See tinyurl.com/HomesteadRamCO.

TENANT CREDIT: Renters also pay “implicit” property taxes, which means they might be eligible for a refund. The tenant’s property tax refund program – sometimes referred to as a tenant credit – is a refund paid by the state for low to moderate income tenants. Renters with household income over $ 62,960 are not eligible, although deductions are allowed for dependents, seniors and people with disabilities. To calculate reimbursements, the “rent constituting property taxes” is assumed to be 17% of the rent paid. If this figure exceeds a certain percentage of income, the refund reimburses a percentage of tax above that threshold. In other words, as income increases, the maximum repayment decreases. For reimbursement requests filed in 2021, based on rent paid in 2020 as well as household income in 2020, the maximum reimbursement was $ 2,210. The average reimbursement was $ 690, or $ 761 for seniors and people with disabilities. Refund claims are filed using the M1PR property tax form. For more information visit tinyurl.com/RenterCredit2021.

DELAYED UPPER: Seniors with a household income of $ 60,000 or less and who have occupied or lived in their home for 15 years or more can defer most of their property taxes. The State of Minnesota will treat deferred taxes as a loan, payable upon sale of property or cancellation of listing, with variable interest not exceeding 5%. The property tax you pay will be 3 percent of your total household income based on your income from the previous year. Applications are processed by the State Revenue Department. For more information visit tinyurl.com/SeniorTaxDeferral.

TAX PENALTY EXEMPTION: Ramsey County property owners can apply for a waiver to avoid paying a penalty for late payment of property tax. Landlords can request a parcel penalty waiver once every 10 years. The waiver may apply either to the first semester of the year or to the payment of the second semester, but not to both. Check out the Ramsey County Property Tax website at tinyurl.com/RamCoTax2021.

REDUCTION OF EXCEPTIONAL DIFFICULTIES: Homeowners who have suffered a medical emergency or other exceptional hardship have the right to apply for a property tax abatement from the Ramsey County Auditor / Treasurer. The request may apply to penalties, interest and fees. If an allowance is not granted, property tax services will work with landowners to provide information on all forms of tax relief available, including the development of partial payment schedules. See the county site at tinyurl.com/RamCoTax2021.


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