1995 - 006982 - repair foundation

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raTra-T94 Exemption From The Property Tax Of Improvements Made To Homes 35 Years Of Age Or Older Read the following information before completing the application for exemption from the property tax of improvements made to homes 35 years of age orolder. Minnesota law encourages property owners to restore or renovate their older homes. This law, commonly referred to as "This Old House" exempts from the property tax all or a portion of the value of improvements made to homes 35 years of age or older. TYPES OF.PROPERTY ELIGIBLE `OR THE EXE iPTIO�i _....-.... In order to be eligible for exemption, the property must meet the following three criteria: 1. Property must be 35 years of age or older at the time the improvements commence. 2. Property must be receiving the homestead classification. This includes property classified as residential homestead (including duplexes and triplexes)blind/paraplegic veteran/disabied homestead and agricultural homestead. Relative homesteads are eligible for the exemption. 3. Tne total market value of the property must be less than 5150,000 (residential: land and buildings; agricultural: house/garage/1 acre). In special circumstances, a property with a total market value of$150,000 or more but less than $300,000 may qualify for the exemption. In these instances, your assessor will help you determine if your property is eligible for the exemption. Properties with a total market value of$300,000 or more do not qualify for the exemption_ If your property is a condominium and your living unit is receiving the homestead classification, any improvements made to the unit would qualify for the exemption. Improvements to common areas are not eligible. If your property is a duplex or triplex and it is receiving the homestead classification, improvements made to any portion of the property qualify for the exemption from the property tax.. If your property is used as a homestead and for a non-residential use, the exemption applies only to improvements made to the residential portion of the property receiving the homestead classification. Fcr example, if your property is used both for a residence and for a business, the exemption applies only to the improvements • made to the homesteaded residential portion of your property. IPROVE�iENTS THAI-:Q .ALIFY;FO THE E.�CEMPTTO .... ':: TYPES OF I r r --... .... ..._.. ...... Only improvements that contribute a minimum value of 51,000 or more to the house or garage of a property classed as homestead during the year of the improvement qualify for the exemption from the property tax. This includes improvements such as additions to the existing house and garage, expansion of the existing house and garage, restoring, remodeling or upgrading of the existing house, addition of a porch or deck or construction of a new garage. Please note that the area qualifying for construction of a garage is limited to 600 square feet. TYPES OF IMPRO y1ENTS THAT.DO�`OT QUALIFY FOR EXEMPTIOTM� .. Improvements made to the site surrounding the home do not qualify for exemption. This includes such improvements to the site as: construction of a fence, construction of a driveway, installation of a lawn sprinkler system, installation of a swimming pool or tennis court, landscaping of the grounds, agricultural buildings. If more than 50 percent of the square footage of a house is torn down or razed, the original house is deemed to no longer exist, and any subsequent improvements made to the remaining structure are considered to constitute the construction of a new house. As a result, the value of any improvements would not qualify for exemption. • If any combination of improvements double the original size of the structure, any improvement that further increases the size of the structure will not qualify for exemption. LLIE LFMIT TJO:IS, ,.,:. .. ::..: .....: p There is a limit to the dollar value of the improvement which may be exempted. The limit depends on the age of the property. Houses that are less than 35 years of age do not qualify. Houses that are at least 35 years of age but less than 70 years are limited to one-half of the value of the improvement up to a maximum exemption of$25,000. Houses that,are 70 years of age or older are eligible to have the total value of any improvements exempted up to a maximum of $50,000. The age of the house is based upon the number of years that the qualifying residence has existed on its present site.