Tax Relief Opportunities
Potential Ways to Offset Your Tax Impact
You may be eligible for programs that help offset increases to your property taxes from the referendum, including:
Homestead Credit Refund – Minnesota’s largest property tax refund program
Special One-Year Refund – For property tax increases over 12% and at least $100
Senior Tax Deferral – Helps residents age 65+ manage property tax bills
Renters’ Property Tax Credit – Available to qualifying renters
The referendum may make you eligible for these refunds or increase the amount you already receive. Additionally, property tax increases may be deductible on your federal tax return if you itemize deductions.
What is the Homestead Credit Refund?
The Homestead Credit Refund program began in 1967 and is received by over 500,000 Minnesota homeowners each year.
Refunds are calculated on a sliding scale based on household income and property tax burden. As property taxes increase, so does the refund—up to $3,310 annually. Refunds range from 53% to 88% of the excess amount paid, based on a state formula tied to income.
Do I Qualify for the Homestead Credit Refund?
As many as 65% of Minnesota homeowners may qualify if their property taxes exceed 1% to 2.5% of household income. If you qualify your refund could help offset both your current tax bill and any increases from the referendum, even if you have received a refund in the past.
How to Apply
Apply using the M1PR form via:
Paper form (available in spring)
Online application (opens in May; deadline is August 15)
If you qualify, your refund will be issued separately from your income tax return. It will not appear on your property tax statement.
Qualifications:
Your total household income is less than $139,320
You were a Minnesota resident for at least half of 2026
You owned and occupied your home as of January 2, 2026
Your property is classified as a homestead
You have no delinquent property taxes