| 1 | 1 | | 1.1 A bill for an act |
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| 2 | 2 | | 1.2 relating to taxation; property; limiting annual valuation increase on residential |
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| 3 | 3 | | 1.3 properties; amending Minnesota Statutes 2024, section 273.11, by adding a |
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| 4 | 4 | | 1.4 subdivision. |
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| 5 | 5 | | 1.5BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: |
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| 6 | 6 | | 1.6 Section 1. Minnesota Statutes 2024, section 273.11, is amended by adding a subdivision |
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| 7 | 7 | | 1.7to read: |
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| 8 | 8 | | 1.8 Subd. 24.Residential valuation increase limitation.(a) In determining the market |
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| 9 | 9 | | 1.9value of residential property, a county assessor shall not increase the market value of |
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| 10 | 10 | | 1.10residential property by more than three percent of the prior year's assessment value. |
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| 11 | 11 | | 1.11 (b) When residential property is sold, the limitation in paragraph (a) shall not apply for |
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| 12 | 12 | | 1.12the following assessment year. During a sale of residential property, a purchaser or an agent |
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| 13 | 13 | | 1.13of a purchaser may request the county auditor provide a property tax estimate based off the |
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| 14 | 14 | | 1.14current year's fair market value of the property. |
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| 15 | 15 | | 1.15 (c) If the estimated market value of a sold residential property increases more than ....... |
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| 16 | 16 | | 1.16percent over the prior year's assessment value, the county auditor shall spread the percent |
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| 17 | 17 | | 1.17increase across the net tax capacity of all residential properties effective for taxes payable |
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| 18 | 18 | | 1.18in the two years following the next taxes payable year. |
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| 19 | 19 | | 1.19 EFFECTIVE DATE.This section is effective for assessment year 2026 and thereafter. |
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| 20 | 20 | | 1Section 1. |
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| 21 | 21 | | 25-01118 as introduced12/17/24 REVISOR MS/CH |
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| 22 | 22 | | SENATE |
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| 23 | 23 | | STATE OF MINNESOTA |
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| 24 | 24 | | S.F. No. 420NINETY-FOURTH SESSION |
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| 25 | 25 | | (SENATE AUTHORS: EICHORN, Farnsworth and Bahr) |
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| 26 | 26 | | OFFICIAL STATUSD-PGDATE |
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| 27 | 27 | | Introduction and first reading01/21/2025 |
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| 28 | 28 | | Referred to Taxes |
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