Item Description:
title
Authorize one-time abatement of property tax penalty in 2026 upon application of taxpayer based upon hardship
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Resolution:
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BE IT RESOLVED, that penalty for late payment of property tax is eligible for abatement for taxpayers experiencing hardship due to recent federal immigration enforcement, provided that the past due taxes have been paid in full and the property's total taxes payable in 2026 are less than $250,000; and
BE IT FURTHER RESOLVED, that such abatement will be granted upon application or written request by the owner, or any person or agent who has a legal right to make application on behalf of the owner, indicating the hardship, with applications due by June 30, 2026 for first-half penalties and November 30, 2026 for second-half penalties; and
BE IT FURTHER RESOLVED, that the County Auditor is authorized to extend application deadlines based on specific hardship; and
BE IT FURTHER RESOLVED, that this penalty abatement is allowed in addition to any penalty abatement allowed under the existing policy.
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Background:
Hennepin County collects property taxes on behalf of all taxing districts in its boundaries and disburses the taxes following collection. Under Minnesota law, property taxes are payable in two equal installments on May 15 and October 15 of each year.
If not paid by the deadlines, the taxpayer immediately incurs a penalty of 2% (homestead) or 4% (non?homestead) on the unpaid amount. Additional penalty is added every month for the remainder of the year until a maximum penalty of 8% (homestead) or 12% (non?homestead) is reached.
The Hennepin County Board has authority under Minnesota Statute ? 279.01 to abate penalty in the current year if it finds the penalty is "unjust and unreasonable" and the board is permitted to delegate that authority to the county treasurer.
Some years ago, the County's policy allowed penalty abatements due to extenuating circumstances, and only homestead property was el...
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