Explanation of Proposed Property Tax Statement

Proposed Property Tax Breakdown

1. Estimated Market Value - reflects the assessor's determination of value indicating the usual selling price on the open market at the time of assessment. The assessment date is January 2 each year. 
2. Homestead Exclusion – Applies to residential homesteads and to the house, garage, and one acre of land on agricultural homesteads. The exclusion is a maximum of $38,000 at $95,000 of market value and then decreases by nine percent for value over $95,000. The exclusion phases out for properties valued at $517,200 or more. 
3. Taxable Market Value – property value for the tax year reduced by applicable limitations, exclusions, exemptions, and deferrals. 
4. Class – the statutory property classification that has been assigned to your property based on its use. 
5. Property I.D. – property identification number. 
6. Tax Credits - The School building bond credit applies to all property classified as 2a (agricultural land), 2b (rural vacant land), and 2c (managed forest land), excluding the house, garage, and surrounding one acre of land. The credit is 70% of the tax on the property attributable to school district-bonded levies. The Agricultural market value credit provides for a maximum credit of $490 at a taxable market value of 260,000 (excluding the house, garage, and surrounding one acre of land). The Agricultural Preserve credit applies to qualifying metropolitan properties in long-term agricultural use. 
7. State General Tax – State general tax is a statewide property tax levied by the State of Minnesota starting in 2002 on commercial, industrial and seasonal recreational properties. These taxes are paid to the State of Minnesota and go to the State General Fund with a portion used to fund school related expenditures. No public meeting is held for the State General Tax. 
8. County – this reflects Anoka County's portion of the proposed tax. This includes the county general levy, county library, and regional rail. Public meeting information to discuss the county’s proposed levy is included. 
9. County/Municipal Public Safety System – an ad valorem tax first imposed in 2003 to improve technology county-wide to enhance public safety. 
10. City or town – City/town portion of the proposed tax. Public meeting information to discuss the city’s proposed levy is included. 
11. School – Voter Approved Levies are debt obligations approved by voters in that school district. Other Local Levies are school levies for community services and debt obligations, that are non-voter approved. Public meeting information to discuss the schools proposed levy is included. 
12. Metropolitan Special Taxing Districts – includes the Metropolitan Council, Metro Transit, and Metro Mosquito Control districts. Public meeting information to discuss the metro districts proposed levy is included. 
13. Other Special Taxing Districts – Includes Housing and Redevelopment Authorities (HRA), Economic Development Authorities (EDA), and watershed management districts. Not all areas have each of these districts. No public meeting is held for other special taxing districts. 
14. Tax Increment – Tax Increment Financing (TIF) is a development tool used by tax authorities, usually cities, to finance the costs of certain developments that the city has determined would not have occurred without the use of public assistance. 
    
    Tax increment takes a portion of the property tax that would otherwise go to the county/city/school/special districts and instead sends it to the Tax Increment district to fund project development costs. That is the amount that is shown on the Tax Increment Tax line. Districts can last for up to 25 years. When the district terminates, the Tax Increment Tax line will go down to $0 and the additional taxes that had been diverted to the tax increment district will then go back to the county/city/school/special taxing districts. 
    
    Tax Increment is not an additional tax. It does not change the Total Tax. Tax Increment affects what line the tax amount is reported on (Tax Increment line vs. county/city/school/special district). The total tax on a parcel in a Tax Increment District is the same as the total tax on a parcel with the same value and classification that is not in a Tax Increment District. No public meeting is held for Tax Increment taxes. 
15. Fiscal Disparity – Fiscal Disparities is a tax base sharing program within the 7-county metro area. 40% of the increase in commercial/industrial value in each city/town since 1971 is contributed into a metro-wide pool. The pooled values are then redistributed back to each city/town on a formula based on market value per capita. 
    
    What does this mean for commercial/industrial/public utility property? A percentage of the value of each commercial/industrial/utility parcel is taxed at the fiscal disparity tax rate, which is an area-wide tax rate that is uniform across the 7-county metro area. The portion of the tax at the area wide rate is reported as “fiscal disparity tax”. The remainder of the value of the parcel is taxed at the local tax rate for the city/town the property is in and is reported on the county/city/school/special district lines. 
    
    Most taxing jurisdictions within Anoka County receive a larger distribution from the fiscal disparity pool than they contribute. This distribution reduces local levies lowering local tax rates for all properties within the taxing jurisdiction. No public meeting is held for Fiscal Disparity taxes. 
16. Total excluding special assessments – this is the total proposed tax amount not including any special assessments.

For accessible accommodations of the above image, please call us at: 763-323-5400