Purpose of the Bill

The purpose of this bill is to introduce a financial incentive to support local media and boost economic activities through advertising. It aims to provide a tax credit for businesses that engage in local advertising by amending existing tax laws.

Main Provisions

• Tax Credit for Advertising: The bill adds a provision to the Minnesota tax law that allows both individual and corporate taxpayers to claim a tax credit for expenses incurred on local media advertising.
• Eligibility for Credit: Taxpayers can use the credit against their individual income taxes or corporate franchise taxes, specifically for qualifying local advertising expenses.

Significant Changes to Existing Law

• Amendments to Statutes: The bill modifies Minnesota Statutes section 290.0131 and section 290.0133 by adding new subdivisions to incorporate the advertising credit.
• New Tax Code Addition: The new law codified in Minnesota Statutes chapter 290 will formally recognize advertising expenses as a tax credit opportunity, which previously did not benefit directly from this type of incentive.

Relevant Terms

• Tax credit
• Local media advertising
• Individual income tax
• Corporate franchise tax
• Advertising expenses
• Minnesota Statutes
• Economic incentive