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SF2780 (Legislative Session 94 (2025-2026))

Department of Revenue making available certain corporate franchise tax information requirement provision

Related bill: HF162

AI Generated Summary

Purpose of the Bill

The purpose of this bill is to increase transparency in corporate taxation by requiring the Minnesota Department of Revenue to disclose certain information about corporate franchise taxes. This aims to provide greater public access to significant financial details of large corporations operating within the state.

Main Provisions

  • Disclosure Requirements: The Minnesota Department of Revenue is mandated to make specific corporate franchise tax information publicly available on a website.

  • Information to be Disclosed:

    1. A corporation's corporate franchise tax return.
    2. All forms involved in calculating income apportionment and tax calculation.
    3. The corporation's identity for state tax purposes.

  • Corporation Criteria: The disclosure applies to corporations with aggregate gross sales or receipts of $250 million or more in a taxable year. This includes unitary businesses as defined under state law.

  • Exemptions from Disclosure: The bill explicitly states that federal tax return information or federal returns themselves will not be disclosed.

Significant Changes to Existing Law

  • Legal Protections for Compliance: The bill specifies that adhering to this disclosure requirement does not violate existing statutes governing tax privacy, thereby safeguarding the Minnesota Department of Revenue from legal repercussions for releasing this information.

Relevant Terms

corporate franchise tax, Minnesota Department of Revenue, public disclosure, tax transparency, corporate tax returns, income apportionment, gross sales, unitary business, tax compliance

Bill text versions

Actions

DateChamberWhereTypeNameCommittee Name
March 19, 2025SenateFloorActionIntroduction and first reading
March 19, 2025SenateFloorActionReferred toTaxes

Citations

 
[
  {
    "analysis": {
      "added": [
        "Requirement for disclosing corporate tax return information."
      ],
      "removed": [
        ""
      ],
      "summary": "This section pertains to the requirement for filing a corporate franchise tax return.",
      "modified": [
        ""
      ]
    },
    "citation": "289A.18",
    "subdivision": "subdivision 1"
  },
  {
    "analysis": {
      "added": [
        "New disclosure requirements for corporations with $250 million or more in receipts."
      ],
      "removed": [
        ""
      ],
      "summary": "This section outlines the filing requirements for corporations with substantial gross sales or receipts.",
      "modified": [
        ""
      ]
    },
    "citation": "289A.08",
    "subdivision": "subdivision 3"
  },
  {
    "analysis": {
      "added": [
        "Clarification on the applicability of disclosure for unitary businesses."
      ],
      "removed": [
        ""
      ],
      "summary": "This section details the apportionment rules for unitary businesses.",
      "modified": [
        ""
      ]
    },
    "citation": "290.17",
    "subdivision": "subdivision 4"
  }
]

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