Minnesota SF4961 modifies the homestead credit refund program to exclude scholarships, dependent flexible spending accounts, and health spending.

Minnesota SF4961 amends the homestead credit refund program by excluding certain types of income from the definition of "income" used in the program. Specifically, the bill excludes nontaxable scholarship or fellowship grants, contributions to dependent flexible spending accounts, and contributions to health flexible spending accounts. These exclusions apply to the income definition used for determining eligibility and the amount of the homestead credit refund. The changes will take effect starting with refunds based on property taxes payable in 2027.

Minnesota SF4961 modifies the homestead credit refund program to exclude scholarships, dependent flexible spending accounts, and health spending.

Minnesota SF4961 amends the homestead credit refund program by excluding certain types of income from the definition of "income" used in the program. Specifically, the bill excludes nontaxable scholarship or fellowship grants, contributions to dependent flexible spending accounts, and contributions to health flexible spending accounts. These exclusions apply to the income definition used for determining eligibility and the amount of the homestead credit refund. The changes will take effect starting with refunds based on property taxes payable in 2027.