AG2SCHOOL TAX CREDIT
AG2SCHOOL TAX CREDIT
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OPEN HOUSE EVENTS // Swanville School Auditorium // 7 p.m. - 9 p.m. // Wednesday, January 8 or Tuesday, January 14
Do You Own Agricultural Land?
Do You Own Agricultural Land?
If you own agricultural land, the State of Minnesota would pay for a large portion of the total Referendum project through the Ag2School Tax Credit program.
The Ag2School Tax Credit is an automatic 70% property tax credit for owners of agricultural land.
This tax credit program is not a tax deduction – it is an automatic dollar-for-dollar credit with no application required.
Please note: It does not include the house, garage, and one acre surrounding the agricultural homestead.
This tax credit reduces the burden for agricultural property owners on existing and future school bonds without increasing the burden for non-agriculture tax payers.
If the referendum question passes on Tuesday, February 11, 2025, the State of Minnesota will pay approximately $2.8 million of the total bond amount of $13,375,000, plus interest. This Ag2School credit equates to an estimated 20% of the total project amount.
Who Can Participate?
Who Can Participate?
The Ag2School tax program offers a 70% tax credit to all agricultural property owners including:
2a (homestead and non-homestead, agricultural land)
2b (rural vacant land)
2c (managed forest land) property except for the dwelling value of the property
What is Dwelling Value?
What is Dwelling Value?
The home, garage, and surrounding 1 acre of land is NOT eligible for the Ag2School Tax Credit and is taxed the same as a residential home.
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A win-win for farmers and rural districts.
A win-win for farmers and rural districts.
Ag2School Tax Credit provides property tax relief to farmers while also helping rural school districts make needed improvements to their facilities — a win-win for farmers and their communities.
— Minnesota Farmers Union
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