MN HF1212

Exempts unplatted, rural, unimproved real estate from property taxation if not used for agricultural purposes, effective for taxes payable in 2016; excludes land used for growing timber, lumber, and wood products.

Limits agricultural land (class 2a) values to 80 times the rental rate for homestead property, 40 times for Minnesota resident-owned nonhomestead property, and 80 times for non-resident-owned nonhomestead property.

Imposes additional taxes on property that loses class 2a agricultural classification equal to the difference between class 3a and actual taxes levied, limited to the last three years of class 2a classification with no interest or penalties if timely paid.

Creates a $150,000 market value exclusion for homesteads owned by persons age 65 or older, with application required before December 1 of the year preceding tax year; for agricultural homesteads, applies only to the house, garage, and surrounding one acre.

All provisions effective beginning with taxes payable in 2016.