DFLers: Minnesotans to pay less in property taxes
Two Minnesota House DFL representatives said in a statement released Tuesday that after more than a decade of property tax hikes, Minnesotans will pay less in property taxes in 2014. The change, they said, was in large part due to direct property tax relief included in the 2013 state budget. New analysis released Monday by nonpartisan House Research confirms a report provided by the Minnesota Department of Revenue report last Friday that showed property taxes would fall in 2014. Last year’s state budget included $133 million in direct relief for homeowners and renters through the new Homestead Credit Refund and expanded Renter’s Credit.
According to non-partisan House Research, when including direct relief, statewide property taxes for homeowners are decreasing by $161 million or 4.9 percent.
“After a decade of skyrocketing increases, Minnesota homeowners and renters are finally seeing their property taxes going down,” said Rep. John Ward, DFL – Baxter. “This is good news for Minnesotans and the direct property tax relief will put more money in the pockets of middle-class Minnesotans and help our local economy and community.”
“We made a conscious decision in our budget to expand direct property tax relief to homeowners and renters, and that investment is paying off for middle-class families,” said Rep. Joe Radinovich, DFL – Crosby. “Property taxes have nearly doubled since 2002, squeezing families and businesses. Now Minnesotans will be paying less in property taxes for the first time in a decade.”
A homeowner receiving a property tax refund in Crow Wing County will receive an average refund increase of $156 and 2,300 more homeowners will qualify. A renter in Crow Wing County who qualifies for the Renter’s Credit will receive an average credit increase of $132 and 540 additional renters will qualify.
A homeowner receiving a property tax refund in Aitkin County will receive an average refund increase of $161 and 300 more homeowners will qualify. A renter in Aitkin County who qualifies for the Renter’s Credit will receive an average credit increase of $139 and 70 additional renters will qualify.
Statewide, Agriculture Homestead Land is seeing a 12 percent increase in property taxes, due to a 24 percent increase in land value. Legislators will be working this session to expand the Agriculture Market Value Homestead Credit to provide immediate relief to farmers in 2014.