30 percent increase possible for cabin property taxes(WDAY TV) - If you own a cabin in Minnesota, it could cost you even more next year.
By: WDAY Staff Reports, WDAY
(WDAY TV) - If you own a cabin in Minnesota, it could cost you even more next year. A change in state law means thousands of Minnesota property owners will face big property tax increases next year and cabin owners will be among the hardest hit.
For many years a provision in the tax code has shielded lake cabin owners when property values rapidly increased. There was a cap on how much of that increase could be taxed, so in many cases the gap between market value and taxable value grew.
At the program's peak in 2004, nearly $32 billion was excluded from the property tax rolls. Nine years ago, the legislature voted to phase out the program in 2009. An Otter Tail County assessor says some lake cabin owners there could see property tax increases of 30-percent or more.