The recent Minnesota bill signed into law by Governor Walz increased refund amounts for the 2022 Homestead Credit Refund (for Homeowners) and Renter’s Property Tax Refund as follows:

Refunds for Homeowners and Renters based on income.

Refunds for homeowners and renters were increased by 20.572%. Taxpayers who had already filed a 2022 Form M1PR may see a larger refund than originally claimed as Minnesota Revenue will adjust your return to reflect the tax law change.

Refunds for Homeowners due to a significant increase in real estate taxes.

Homeowners may now qualify for a special refund if their property tax increased by more than 6% — rather than 12% under old law — from 2022 to 2023.  Minnesota Revenue will adjust your return for the tax law change if you had already filed a 2022 Form M1PR claiming a refund due to an increase in property tax of 12%.

To be eligible for this refund the following must apply:

• You owned and occupied your home on January 2, 2022 and January 2, 2023
• Your net property tax on your homestead increased by more than 6% (was 12% under old law) from 2022 to 2023.
• The increase was at least $100.

Boyum Barenscheer will be analyzing client files to assess if a return should be filed due to a 6% increase in real estate taxes rather than the 12% which calculated under old law.  If you qualify for a refund, we will prepare a year 2022 property tax return for you.  Our target completion for this analysis is December 31^st.  The due date for filing for this refund is August 15^th of 2024.  Our analysis should be done well in advance of the due date.

Most Metro counties had property tax increases below 6% but your property tax may have increased by over 6% due to increased rates from special taxing districts assessed on your property. In any event, if you qualify and have not previously filed a 2022 Minnesota Property Tax refund claim we will prepare one for you late in the year but well before the final due date.