Mortgage Registry Tax Glossary

A document that adds additional security for a debt amount upon which tax has already been paid.

Recommended Language: “This document provides additional security for a debt amount upon which tax has been paid. Mortgage Registry Tax in the amount of $ ……... was paid in ……… County, Document # ……… to secure the same indebtedness as described in this instrument.

See Minnesota Statute 287.04 (c).

A document that alters an existing mortgage without securing a new debt, or increasing the amount of an existing debt. 

Recommended Language: Minnesota Uniform Conveyancing Blanks – Mortgage Amendment:

This document secures additional debt in the amount of $_____________

Mortgage Registry Tax of $____________was paid on the original debt amount in _______________ County, Minnesota on ______________(month/day/year)

Additional MORTGAGE REGISTRY TAX DUE: $_______________ (payable only if indebtedness is increased in paragraph 3B)

See Minnesota Statute 287.01, subd. 2.

If a county treasurer is unable to determine whether a claim of exemption should be allowed, the tax must be paid as in the case of a taxable mortgage. 

See Minnesota Statute 287.08, subd. (a)

“Debt” means the principal amount of an obligation to pay money that is secured in whole or in part by a mortgage of an interest in real property. 

See Minnesota Statute, 287.01, subd. 3.

A tax is imposed on the privilege of recording a mortgage. The tax rate is .0023 (or .0024 in Hennepin and Ramsey Counties) of the debt or portion of the debt that is secured by any recorded mortgage of real property located in this state. The person liable for the tax is the mortgagor.

See Minnesota Statute 287.035.

If the mortgagee intends to secure only a portion of a debt amount recited or referred to in the mortgage, the mortgage may contain the following statement, or its equivalent, on the first page:

“Notwithstanding anything to the contrary herein, enforcement of this mortgage is limited to a debt amount of $ …….. under chapter 287 of Minnesota Statutes.”

The effect of the mortgage, as evidence in any court in this state, or as notice, shall be limited to the amount contained in the statement.

See Minnesota Statute 287.05, subd. 1a.

A “mortgage” means any instrument, including a decree of marriage dissolution or an instrument made under it, creating or evidencing a lien of any kind on real property, given by an owner of real property as security for a debt.

See Minnesota Statute 287.01, subd.6.

Mortgage registry tax is paid based on the maximum amount secured at any one time as expressed in a revolving line of credit mortgage. Unlike a term loan, a line of credit allows for advances, payments, and readvances without the payment of additional mortgage registry tax.

See Minnesota Statute 287.05, subd. 3.

A document that alters an existing mortgage by providing for an increase in the amount of debt secured. This includes any document that alters an existing mortgage to secure debt that was (i) advanced, (ii) repaid in whole or in part, and (iii) then readvanced in whole or part.

Recommended Language: Minnesota Uniform Conveyancing Blank – Amendment of Mortgage.

This document secures additional debt in the amount of $______________ Mortgage Registry Tax of $______________ was paid on the original debt amount in ______________County, Minnesota on _______________. (month/day/year)

Additional MORTGAGE REGISTRY TAX DUE: $_________________ (payable only if indebtedness is increased in paragraph 3B)

See Minnesota Statute 287.05, subd. 2.

A document or any record of the mortgage may not be received in evidence in any court, and is not valid notice, unless the tax has been paid. This does not apply to mortgages that are exempt from tax.

See Minnesota Statute 287.10.