HF2768 (Legislative Session 94 (2025-2026))
individual income taxes, corporate franchise taxes, sales and use taxes, and other various taxes and tax-related provisions modified; various policy and technical changes made; income tax credits and subtractions modified; and enforcement, return, and audit provisions modified.
Related bill: SF2997
AI Generated Summary
Purpose of the Bill
The purpose of this bill is to amend and update Minnesota’s tax laws. It covers various types of taxes, including individual income taxes, corporate franchise taxes, and sales and use taxes. The bill aims to make both policy and technical changes to the tax system.
Main Provisions
Individual Income and Corporate Franchise Taxes: The bill modifies income tax credits and subtractions. It updates how and when taxpayers can apply for and receive credits, contingent on meeting certain criteria.
Sales and Use Tax Modifications: Changes are proposed for the exemptions related to sales and use taxes. The bill also addresses how these taxes are collected and where the funds are deposited.
Partnership Provisions: Modifications to the rules governing partnerships, particularly in terms of taxation, are included.
Property Tax Classification: The bill proposes changes to how property taxes are classified, which may affect how they are assessed and what rates apply.
Tax Enforcement and Audit Adjustments: Updates to the enforcement, return filing, and audit processes aim to streamline and improve tax compliance.
Technical and Policy Changes: There are technical updates to previous legislation aimed at clarifying and refining the application of tax laws.
Significant Changes to Existing Law
- Provides a clearer framework for taxpayers to claim certain credits, requiring the issuance of a credit certificate.
- Adjustments to partnerships and property tax classifications may impact the way these taxes are calculated and enforced.
- Includes new guidelines on how sales and use taxes are managed, potentially altering the financial implications for businesses.
Relevant Terms
tax modification, income tax credits, sales tax exemptions, corporate franchise taxes, property tax classification, tax enforcement, audit provisions, tax compliance, partnership taxation.
Bill text versions
- Introduction PDF file
Actions
| Date | Chamber | Where | Type | Name | Committee Name |
|---|---|---|---|---|---|
| March 23, 2025 | House | Floor | Action | Introduction and first reading, referred to | Taxes |
| April 06, 2025 | House | Floor | Action | Author added |
Citations
[
{
"analysis": {
"added": [],
"removed": [],
"summary": "This bill modifies the eligibility criteria for tax credits concerning production costs under section 116U.27.",
"modified": [
"Specifies credit eligibility for a consecutive 12-month period."
]
},
"citation": "116U.27",
"subdivision": "subdivision 2"
},
{
"analysis": {
"added": [],
"removed": [],
"summary": "This section involves the modification of provisions related to tax enforcement and audit procedures under section 270C.445.",
"modified": [
"Adjustments to enforcement and audit provisions."
]
},
"citation": "270C.445",
"subdivision": "subdivisions 3, 6"
},
{
"analysis": {
"added": [],
"removed": [],
"summary": "This bill addresses property tax classification changes under section 273.13.",
"modified": [
"Revises property tax classification criteria."
]
},
"citation": "273.13",
"subdivision": "subdivision 22"
},
{
"analysis": {
"added": [],
"removed": [],
"summary": "This section deals with modifications in tax return filing and submission under section 289A.08.",
"modified": [
"Alterations to return filing procedures."
]
},
"citation": "289A.08",
"subdivision": "subdivision 7a"
},
{
"analysis": {
"added": [],
"removed": [],
"summary": "This bill changes tax deposit and payment timelines under section 289A.12.",
"modified": [
"Adjustments to payment deadlines."
]
},
"citation": "289A.12",
"subdivision": "subdivision 18"
},
{
"analysis": {
"added": [],
"removed": [],
"summary": "This section involves changes in tax enforcement under section 289A.31.",
"modified": [
"Modification of enforcement provisions."
]
},
"citation": "289A.31",
"subdivision": "subdivision 1"
},
{
"analysis": {
"added": [],
"removed": [],
"summary": "This bill modifies the definitions related to income tax under section 290.01.",
"modified": [
"Updates to income tax definitions."
]
},
"citation": "290.01",
"subdivision": "subdivision 19"
},
{
"analysis": {
"added": [],
"removed": [],
"summary": "This section pertains to various income tax credits under section 290.0132.",
"modified": [
"Changes to credit calculations."
]
},
"citation": "290.0132",
"subdivision": "subdivisions 26, 34"
},
{
"analysis": {
"added": [],
"removed": [],
"summary": "This bill revises subtractions from taxable income under section 290.0134.",
"modified": [
"Modification of subtractive provisions."
]
},
"citation": "290.0134",
"subdivision": "subdivision 20"
},
{
"analysis": {
"added": [],
"removed": [],
"summary": "Amendments to investment tax credits under section 290.0693.",
"modified": [
"Adjustments in credit allocations."
]
},
"citation": "290.0693",
"subdivision": "subdivisions 1, 6, 8"
},
{
"analysis": {
"added": [],
"removed": [],
"summary": "Changes in tax credit eligibility under section 290.0695.",
"modified": [
"Modification to eligibility criteria."
]
},
"citation": "290.0695",
"subdivision": "subdivision 2"
},
{
"analysis": {
"added": [],
"removed": [],
"summary": "This bill modifies sales tax exemptions under section 297A.71.",
"modified": [
"Revised exemption qualifications."
]
},
"citation": "297A.71",
"subdivision": "subdivision 54"
},
{
"analysis": {
"added": [],
"removed": [],
"summary": "Adjustments to sales tax refunds under section 297A.75.",
"modified": [
"Changes in refund procedures."
]
},
"citation": "297A.75",
"subdivision": "subdivisions 1, 2, 3"
},
{
"analysis": {
"added": [],
"removed": [],
"summary": "Modifications to sales tax collection and deposits under section 297A.94.",
"modified": [
"Updates to collection processes."
]
},
"citation": "297A.94",
"subdivision": ""
},
{
"analysis": {
"added": [],
"removed": [],
"summary": "Changes in local government sales tax under section 297A.99.",
"modified": [
"Adjustments to local tax implementation."
]
},
"citation": "297A.99",
"subdivision": "subdivision 10"
},
{
"analysis": {
"added": [],
"removed": [],
"summary": "Amendments concerning special local taxes under section 297A.995.",
"modified": [
"Revisions to special tax provisions."
]
},
"citation": "297A.995",
"subdivision": "subdivisions 2, 10"
},
{
"analysis": {
"added": [],
"removed": [],
"summary": "Changes to gambling tax revenue allocations under section 297E.06.",
"modified": [
"Modification of revenue distribution."
]
},
"citation": "297E.06",
"subdivision": "subdivision 4"
},
{
"analysis": {
"added": [],
"removed": [],
"summary": "This bill includes tax provisions relating to insurance under section 297I.20.",
"modified": [
"Adjustments to insurance tax calculations."
]
},
"citation": "297I.20",
"subdivision": "subdivision 4"
}
]