Deed Tax Rate
Deed Tax Rate
The Deed Tax rate is 0.0033 of the net consideration. Hennepin and Ramsey counties have an additional Environmental Response Fund Tax of 0.0001 (ERF Tax).*
| State/County | Deed Tax Rate | Environmental Response Fund Rate |
|---|---|---|
| State rate for all Minnesota counties | 0.0033 | N/A |
| Hennepin County (ERF Tax) | 0.0033 | 0.0001 |
| Ramsey County (ERF Tax) | 0.0033 | 0.0001 |
Example:
Real Property is sold for $200,000.
| Location of Sale | Deed Tax Rate | Tax Due |
|---|---|---|
| Hennepin County | (0.0033 x $200,000) + (0.0001 x $200,000) | $680 |
| Ramsey County | (0.0033 x $200,000) + (0.0001 x $200,000) | $680 |
| All other Minnesota Counties | 0.0033 x $200,000 | $660 |
Definitions
Consideration: The value given in return for a conveyance of real property. (See Minnesota Statute 287.20 subdivision 2.)
Net Consideration: Consideration less the value of any lien or encumbrance remaining on the property prior to the time of sale and that is not released or satisfied as a result of the sale. An example would be a buyer’s assumption of the seller’s mortgage.
Execution and Delivery: Deed Tax is due when a taxable deed or instrument is presented for recording. (See Minnesota Statute 287.21 subdivision 1[d].)
* See Minnesota Statutes, section 383A.80 and section.383B.80