| County Quick Links |
Benton County Departments |
|
Services |
|
|
- What is the "This Old House" home improvement exemption?
- The program was designed to provide owners of older homes with an incentive to renovate their property. It allows full or partial exemption from property taxes for certain improvements made to homestead property that is at least 45 years old.
- Which properties may be eligible for the program?
- In order to be eligible for the value exemption, you must meet ALL of the following requirements at the time the improvement is made:
- The property must receive the homestead classification as of December 1st in the year in which the improvement is made
- The property must be at least 45 years old
- The property must not exceed $400,000 in market value
- A building permit must be obtained before beginning the improvement
- The improvements in a single year must add at least $5000 to the value of the home
- What kind of improvements qualify?
- Only improvements made to the house and garage qualify. The construction of a new garage also qualifies if no garage exists originally. The exemption of the garage is limited to 600 square feet and you are limited to doubling the size of your home and at least 50% of the qualifying structure must remain in place. Improvements to the land such as landscaping, a driveway, underground sprinklers, septic system or a swimming pool would NOT qualify for exemption. A house that has been relocated can qualify for the exemption, however, the relocation must be from a location within the state of Minnesota. Only improvements for which building permits (if required) were issued to the owner after the house is relocated can qualify. Market value increases relating to basic improvements necessary to install the house on it's foundation and connect it to utilities are NOT eligible.
- Do I have to apply to eligible for the program?
- Yes. Applications are available at the County Assessor's Office. Improvements made without completing the required application for the home improvement exemption are NOT eligible for the program. An application MUST be filed within 3 years of the date the building permit was issued for the improvement. Applications MUST be received on or before June 30th of any year in order to be effective for taxes payable in the following year.
- How long will I receive this exemption?
- The value exemption begins with the first assessment year following the year in which the improvement is made and lasts for 10 consecutive years. The exempted value will then be added back in over the next 5 years. However, the value exemption will terminate when the property is sold or the property owner no longer qualifies for homestead.
- Is there a maximum allowable exemption?
- Yes. The maximum improvement value to be considered under this program is $50,000. If the property is at least 70 years old when the permit is issued the property may qualify for 100% exemption of improvements up to the $50,000 limit. If the property is 45-69 years old it may qualify for 50% exemption of improvements up a limit of $25,000. The value of the improvements is determined by the assessor and related to additional market value added to the property, not to the actual cost of the improvements.
- How do I know if my application was approved?
- The amount of your value exemption will appear on your Truth in Taxation Notice that you receive from the Auditor's Office in November. The amount will also appear on your Notice of Valuation sent to you in March by the Assessor's Office. This is only a summary of the program. If you have specific questions or would like more information or an application please contact the County Assessor's Office.
|
Brian Koester
County Assessor |
Brian Koester
Benton County Government Center
PO Box 129
531 Dewey Street
Foley, MN 56329
Phone: 320-968-5019
Fax: 320-968-5329
Email:
brian.koester@co.benton.mn.us |
|
