Minnesota Legislature signed tax law changes for the tax year 2022 into effect on May, 24th 2023.
These tax law changes effect the calculation of the Minnesota Property Tax Refund M1PR and provides a one-time increase of the 2022 Homestead Credit Refund or Renter's Property Tax Refund claimed on Form M1PR. The state released the updated forms in June.
Note:
The program is currently updated to account for this tax law change at this time so any returns filed on or after June 15, 2023 will have been filed with the updated calculations.
What are the changes?
The bill made the following changes:
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Refunds for homeowners and renters were increased by 20.5%.
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Homeowners may now qualify for a special refund if their property tax increased by more than 6% — rather than 12% — from 2022 to 2023. ( The state will publish more information when available.)
The income requirements have not changed for claiming the Homestead credit or the Renter's Property Tax Refund.
The bill also makes other changes to property tax refunds, including:
- Homestead Credit Refund — Homeowners who have an Individual Taxpayer Identification Number (ITIN), instead of a Social Security Number, can now qualify for homestead status for their residence and claim the refund.
- Renter's Refund — Starting with rent paid in 2024: Renters will claim the refund on their Minnesota income tax return (Form M1). Owners and managing agents must provide a Certificates of Rent Paid (CRP) and submit CRPs to Revenue by January 31.
How will this affect my refund?
Taxpayers who already filed a 2022 Form M1PR may see a larger refund than originally claimed.
What do I need to do?
If you filed 2022 Form M1PR before June 14, 2023
| If you filed as a | Then |
| Renter, nursing home resident, or adult foster care resident | You do not need to do anything. The state will increase your Renter’s Property Tax Refund by 20.572% and send you the additional refund automatically. |
| Homeowner or mobile home owner, and you claimed a Special Property Tax Refund when filing | You do not need to do anything. The state will increase your Homestead Credit Refund by 20.572%, recalculate your special refund, and send you the additional refund automatically. |
| Homeowner or mobile home owner, and you did not claim a Special Property Tax Refund when filing | Review the updated 2022 Form M1PR instructions to see if you qualify for the special refund. If you qualify, file 2022 Form M1PRX, Amended Homestead Credit Refund (for Homeowners) and Renter’s Property Tax Refund, and complete the Special Refund section. |
| Homeowner or mobile home owner, and you do not qualify for the Special Property Tax Refund | You do not need to do anything. The state will increase your Homestead Credit Refund by 20.572% and send you the additional refund automatically. |
If you didnt file a 2022 M1PR form, review the instructions to see if you qualify. If you do qualify, file the M1PR by August 15, 2024.
How do I update my address or bank information?
If you’re eligible for the one-time tax rebate and your address or bank information have changed since filing your 2021 income tax return or property tax refund, visit https://taxrebate.mn.gov/submit by July 28th, 2023, 5PM CST.
When will I get my refund?
The state expects to start issuing the larger refunds in mid-July for renters and mid-September for homeowners.