Minnesota has a range of property tax relief programs designed to support military veterans, providing significant financial assistance to those who qualify. These exemptions are a vital resource for veterans, particularly those with disabilities, helping them manage their housing expenses and improve their quality of life. Understanding the specifics of these programs is essential for veterans who want to take advantage of the benefits they have earned.
Key Property Tax Exemption Programs for Veterans in Minnesota
Minnesota offers property tax relief primarily through the Homestead Market Value Exclusion for Disabled Veterans program. This program reduces the market value of a veteran’s home, which lowers the amount of property taxes owed. Here’s a closer look at how the program works and the qualifications involved:
Homestead Market Value Exclusion for Disabled Veterans
The Homestead Market Value Exclusion is a substantial property tax relief benefit available to Minnesota veterans with service-connected disabilities. It helps reduce the taxable value of their home, making homeownership more affordable.
Eligibility: Veterans with a disability rating of 70% or higher from the U.S. Department of Veterans Affairs (VA) are eligible. The program also extends benefits to surviving spouses of veterans who died due to service-connected disabilities or those who were permanently disabled at the time of their death.
Benefit Breakdown
Veterans with a disability rating of 100% or those determined to be permanently and totally disabled may qualify for a market value exclusion of up to $300,000.
Veterans with a disability rating between 70% and 99% may qualify for an exclusion of up to $150,000.
Application Process: Veterans must apply for the exclusion by December 31 of the year prior to when they wish to receive the benefit. The application process requires submitting a completed Homestead Exclusion Application along with the necessary VA disability rating documentation to the county assessor’s office.
Property Tax Deferral for Senior Citizens
Veterans who are 65 or older may also qualify for the Senior Citizens Property Tax Deferral Program, which allows eligible senior homeowners to defer a portion of their property taxes. While not exclusive to veterans, it provides additional financial relief for senior veterans with limited income, helping them manage property taxes without the burden of high annual payments.
The Importance of Understanding Eligibility
Veterans must fully understand the eligibility requirements and deadlines associated with these property tax relief programs to maximize their benefits. Applying for the Homestead Market Value Exclusion requires coordination with local county assessors, and veterans must ensure their VA documentation is current and accurate. It’s also important to note that the exclusion applies only to homestead properties, meaning the veteran must own and occupy the property as their primary residence.
Surviving Spouses’ Benefits
The Homestead Market Value Exclusion extends to surviving spouses of veterans who died due to service-related disabilities or were permanently disabled at the time of death. Surviving spouses can continue receiving the property tax exclusion for as long as they own and occupy the home, offering vital financial support during a difficult time.
How Property Tax Exemptions Benefit Minnesota Veterans
Property tax exemptions provide Minnesota veterans with meaningful financial relief, allowing them to retain more of their income for other essential needs. For disabled veterans, especially those on fixed incomes, these benefits can make a significant difference in the affordability of homeownership. Additionally, for veterans navigating the complexities of civilian life post-service, property tax exemptions help ease the transition by lowering their overall housing costs.
How to Apply for Minnesota Property Tax Exemptions
Veterans who believe they qualify for the Homestead Market Value Exclusion or other property tax relief programs can apply through their county assessor’s office. The Minnesota Department of Revenue provides comprehensive information and resources on its website, including the necessary forms and deadlines. Veterans are encouraged to work with knowledgeable professionals, such as real estate agents familiar with military benefits, to ensure they fully understand and capitalize on the available tax relief.
Minnesota offers valuable property tax exemptions and relief programs that veterans should not overlook. Whether you are a veteran with a service-connected disability or the surviving spouse of a veteran, these benefits can make a substantial impact on your financial stability. By taking advantage of these programs, veterans can ensure their sacrifices are recognized and that they receive the support they deserve in maintaining affordable housing.
If you or someone that you know has real estate questions or wishes to discuss how I can help, please contact Shannon Lindstrom, Realtor with RE/MAX Results and a Certified Military Residential Specialist, (MILRES), Military Relocation Professional (MRP), and Veterans Certified Real Estate Agent (VCA) serving the Twin Cities/MN at 612-616-9714 or visit www.ShannonLindstromRealtor.com today.
Shannon Lindstrom, Realtor®, CDRE®, CREDS, CRS, GREEN, MILRES, MRP, VCA
RE/MAX Results
7373 Kirkwood Court No, Ste. 300
Maple Grove, MN 55369
Direct: 612-616-9714
Lindstrom_S@msn.com
Shannon@ShannonLindstromRealtor.com
www.ShannonLindstromRealtor.com
www.ShannonLindstrom.info
www.MNDivorceRealEstateExpert.com
