PROPERTY TAX
Commercial Seasonal Recreational
Delayed Payment
April 5, 2005
Separate Official Fiscal Note
Requested
Yes No
X
Department of Revenue
Fiscal Impact
DOR Administrative
Costs/Savings X
General Fund
Analysis of H.F. 1001 (Simpson) / S.F. 1142 (Ruud)
Fund Impact
F.Y. 2006 F.Y. 2007 F.Y. 2008 F.Y. 2009
(000’s)
($900) ($25) ($25) ($25)
Effective for taxes payable in 2006 and thereafter.
EXPLANATION OF THE BILL
The bill would delay the payment of first half property taxes for class 1c and class 4c commercial seasonal recreational property from May 15 to before July 1. Late penalties do not apply if paid by June
30. Otherwise late payments are penalized on the listed schedule.
REVENUE ANALYSIS DETAIL

Class 4c property is subject to the state general levy. Delayed payment of the first half of property taxes from May 15 to June 30 would result in a shift to the next fiscal year of county remittance to the state of the first half of the state tax on Class 4c property. The shift in the first year would be
$900,000, with ½ the growth in commercial seasonal recreational state general levy of $25,000 shifted in each of the following fiscal years.
Number of Taxpayers: Owners of class 1c and 4c commercial seasonal recreational property. hf1001(sf1142)_1 / LM
Source: Minnesota Department of Revenue
Tax Research Division http://www.taxes.state.mn.us/taxes/legal_policy