MN HF3041

Limits annual property value increases to 10 percent for agricultural homestead, rural vacant land, residential homestead, managed forest land, and noncommercial seasonal residential recreational properties, effective for assessment year 2013 and thereafter.

Defines "small business property" as agricultural homestead limited to first-tier market value (excluding house, garage, and one acre) or commercial-industrial property limited to first-tier market value.

Provides a targeted refund for small business property owners when gross property taxes increase more than 12 percent year-over-year, with refund equal to 50 percent of the increase above 12 percent, capped at $1,000 per property.

Refund minimum threshold is $100 and does not apply to tax increases from improvements made after the prior year's assessment date.

Effective for refunds based on property taxes payable in 2014 and thereafter; appropriates necessary general fund money to the commissioner of revenue.