HF100 (Legislative Session 94 (2025-2026))
Unlimited Social Security individual income tax subtraction allowed.
Related bill: SF235
AI Generated Summary
This bill focuses on changing how Social Security benefits are taxed in Minnesota. It proposes allowing taxpayers to subtract their Social Security benefits from their taxable income, with the option to choose either a simplified subtraction method or an alternate method based on other calculations.
The simplified method gives a subtraction based on the amount of Social Security benefits received but reduces this subtraction if a taxpayer's income exceeds certain limits. These limits vary depending on the taxpayer's filing status, such as whether they are married, single, or a head of household.
The alternate subtraction method also calculates a subtraction based on Social Security benefits, but this too is affected by the taxpayer's income, with specific formulae reducing the subtraction depending on how much the taxpayer earns above certain thresholds.
The bill also includes provisions to adjust these income thresholds annually based on changes in economic conditions, ensuring the amounts remain relevant over time. The specific amounts and rules vary depending on the taxpayer’s filing status and income, aiming to provide some tax relief especially to those with lower incomes.
Actions
| Date | Chamber | Where | Type | Name | Committee Name |
|---|---|---|---|---|---|
| February 10, 2025 | House | Floor | Action | Introduction and first reading, referred to | Taxes |
| February 13, 2025 | House | Floor | Action | Author added | |
| February 17, 2025 | House | Floor | Action | Committee report, to adopt as amended and re-refer to | Ways and Means |
| February 17, 2025 | House | Floor | Action | Author added | |
| February 19, 2025 | House | Floor | Action | Authors added | |
| February 20, 2025 | House | Floor | Action | Author added | |
| March 03, 2025 | House | Floor | Action | Author added | |
| March 24, 2025 | House | Floor | Action | Author added |
Citations
[
{
"analysis": {
"added": [],
"removed": [],
"summary": "This bill modifies the provisions for Social Security benefits subtraction under section 290.0132, subdivision 26.",
"modified": [
"Adjusts the method and thresholds for subtracting Social Security benefits from taxable income."
]
},
"citation": "290.0132",
"subdivision": "subdivision 26"
},
{
"analysis": {
"added": [],
"removed": [],
"summary": "This citation explains the definition of modified adjusted gross income in the context of Social Security benefits.",
"modified": [
"Clarifies references to adjusted gross income calculations for taxable benefits."
]
},
"citation": "86(b)(2) of the Internal Revenue Code",
"subdivision": ""
},
{
"analysis": {
"added": [],
"removed": [],
"summary": "This citation defines Social Security benefits for the purpose of taxation under state law.",
"modified": [
"Ensures state references align with the federal definition of Social Security benefits."
]
},
"citation": "86(d)(1) of the Internal Revenue Code",
"subdivision": ""
}
]