What a Minnesota property tax refund is
A Minnesota property tax refund is money the state sends back to you when you have paid more in property tax than you owe, or when you meet the income requirements for a state tax credit that reduces what you owe. The most common reason Minnesotans receive a refund is the Homestead Property Tax Refund, which is a credit for homeowners and renters whose property taxes or rent are high relative to their household income. The state calculates whether you may have access to based on your income, the amount you paid in property tax or rent, and your age or disability status.
Minnesota also issues refunds through the Property Tax Refund for Disabled and Elderly program, which is a separate benefit for people 65 and older or permanently disabled, regardless of income in some cases. These are not refunds in the sense that you get money back after paying too much — they are credits the state applies to reduce your tax bill, and if the credit is larger than what you owe, the state sends you the difference.
Key Takeaways
- The Homestead Property Tax Refund is based on your household income and how much you paid in property tax or rent, and you must file a claim form with the state to receive it.
- The Property Tax Refund for Disabled and Elderly is a separate program for people 65 or older or permanently disabled, with different income limits and filing requirements.
- You file for both refunds on your Minnesota income tax return or on a separate claim form if you do not file taxes, and the state processes claims from March through October.
- Refunds are typically mailed as checks in the fall after you file, though timing depends on when you submit your claim and whether the state needs more information from you.
- If you rent instead of own a home, you may still be may be able to access for the Homestead refund based on the rent you paid, not the property tax itself.
Who qualifies for the Homestead Property Tax Refund
To receive the Homestead Property Tax Refund, you must have been a Minnesota resident for the entire year, owned or rented your home for at least 12 months, and lived in the home as your primary residence. Your household income must fall below a certain threshold — the limit changes each year, but for 2023 it was $93,750 for most households. The state also considers your age: if you are 65 or older or permanently disabled, you may have a higher income limit.
The amount of the refund depends on how much property tax you paid (or rent, if you are a renter) and your total household income. If your income is very low, the refund can be larger. If your income is close to the limit, the refund will be smaller or you may not receive one. The state publishes a table each year showing the income thresholds and the refund amounts based on your property tax or rent paid.
Who qualifies for the Property Tax Refund for Disabled and Elderly
This program is for homeowners who are 65 or older or permanently disabled, and it has different rules than the Homestead refund. Your household income must be below a certain limit — for 2023, the limit was $48,000 for most households — and you must have owned your home for at least 12 months. Unlike the Homestead refund, this program does not cover renters.
The refund amount is based on your property tax and your household income. If you may have access to for both the Homestead refund and the Disabled and Elderly refund, you receive only the larger of the two, not both. You file for this refund on the same form as the Homestead refund, and the state determines which one you receive.
How to file for a Minnesota property tax refund
If you file a Minnesota income tax return, you can claim the refund on that return using Form M1-PR (Property Tax Refund Claim). You attach this form to your tax return when you file. If you do not file a Minnesota income tax return because your income is too low, you can file the form separately with the Minnesota Department of Revenue. The form is available on the state's website, and you can file by mail or electronically if you use tax software.
You will need to provide your household income for the year, the amount of property tax you paid (or rent, if you are a renter), and proof of residency. If you own a home, you can find your property tax amount on your property tax statement or your mortgage statement. If you rent, you will need to provide documentation of your rent payments — a lease, rent receipts, or a letter from your landlord.
The state accepts claims from March 1 through October 31 each year. If you file your income tax return early in the year, you can file the refund claim at the same time. If you file late, you can still file the claim as long as it arrives by October 31.
When you will receive your refund
The Minnesota Department of Revenue processes refund claims from March through October, and most refunds are mailed in the fall — typically September through November. The exact timing depends on when you file your claim and whether the state needs to verify any information. If you file early in the year, you may wait several months before receiving your refund. If you file closer to the deadline, the wait may be shorter, but you risk missing the October 31 deadline.
Refunds are sent by check to the address on your claim form. The state does not offer direct deposit for property tax refunds. If you do not receive your refund by December, you can contact the Minnesota Department of Revenue to check the status of your claim. You will need your Social Security number and the year you filed the claim.
What to do if you think you are owed a refund but have not received it
If you filed a claim and did not receive a refund, or if you think you should have received one but did not file, contact the Minnesota Department of Revenue at 651-296-3781 or visit their website to check the status. Have your Social Security number and the year of your claim ready. The state may need to verify your income or property tax information, which can delay processing.
If the state denied your claim, you will receive a letter explaining why. Common reasons for denial include income above the limit, not meeting the residency requirement, or not providing proof of property tax or rent paid. If you believe the denial was wrong, you can file an appeal with the Department of Revenue within 30 days of receiving the denial letter.
Renters and the property tax refund
Renters can receive the Homestead Property Tax Refund based on the rent they paid, even though they do not pay property tax directly. The state assumes that a portion of rent goes toward property tax, and uses a formula to calculate the property tax component of your rent. You must provide proof of rent paid — a lease, rent receipts, or a statement from your landlord — and the amount must be for your primary residence.
The rent you report must be for a full 12 months of occupancy in the same home. If you moved during the year, you can only count rent paid for the months you lived in the home that qualifies. If you lived with family members or in a situation where rent was not paid (such as living with a relative rent-free), you do not may have access to.
Frequently Asked Questions
Can I get a refund if my income is above the limit?
No. The Homestead refund has a strict income limit that changes each year, and if your household income exceeds it, you do not may have access to. The Disabled and Elderly refund has a lower income limit. You can check the current year's limits on the Minnesota Department of Revenue website.
What if I own a home but did not pay property tax because my mortgage company pays it?
You can still report the property tax amount on your refund claim. Your mortgage statement or property tax statement shows the amount your lender paid on your behalf. The refund is based on the total property tax owed on your home, not on who paid it.
Do I have to file a tax return to get the property tax refund?
No. If your income is too low to file a tax return, you can file the property tax refund claim separately using Form M1-PR. Mail it to the Minnesota Department of Revenue by October 31. You do not need to file an income tax return to receive the refund.
What happens if I file my claim after October 31?
Claims filed after October 31 are not processed for that year. You can file again the following year starting March 1. If you missed the deadline, mark your calendar for the next filing period to avoid missing it again.
Can I receive both the Homestead refund and the Disabled and Elderly refund?
No. If you may have access to for both, the state sends you whichever refund is larger. You do not receive both payments. The form you file determines which programs the state checks, and the Department of Revenue calculates both amounts and pays the higher one.