Rising Property Taxes? Many Are Eligible For Refund In Minnesota
Home prices have been skyrocketing in recent years. That also means property taxes have been going up too. Even if you've been in the same home for years, the rising property taxes can make it hard on your budget. You may be able to get some money back from the State of Minnesota.
Fortunately, people in the housing industry like realtors and mortgage lenders are looking out for their customers, giving them the heads up as it's something that they are well aware of. My friend Brenna is a realtor, and this is where I found out about the refund.
She shared some advice on Facebook, pointing out a link to the Minnesota Department of Revenue with information about the a refund option you might not know about that is available in the state.
If you live in Minnesota, you may qualify for the Minnesota Homestead Credit Refund. There are two types of refunds you may qualify for. Both refunds require that you have a valid Social Security Number, own property classified as homestead, and you have paid or have made arrangements to pay your property taxes. What qualifies as a homestead? That's if you own and live in the home.
Regular Refund Requirements
- You owned and live in your home on January 2, 2022
- Your household income for 2021 was less than $119,790
If you don't qualify for that, but have had big property tax increases, you may qualify under the special refund requirements
Special Refund Requirements
- You owned and live in the same home on January 2, 2021, and January 2, 2022
- Your home's net property tax increased by more than 12% in the last year
- The net property tax increase was $100 or more
- The increase wasn't because of improvements you made to the property
There are other subtractions you can make that may help you fit into the qualifications such as if you had dependents, were older than 65, you contributed to your retirement account, or were disabled. You can read more about those subtractions on the Minnesota Department of Revenue page.
You must file for the property tax refund by August 15. You're allowed to file up to one year after the due date. Filing can be done online, with a software product, or on paper with the Minnesota Department of Revenue.