AI Generated Summary
Purpose of the Bill
This bill aims to modify various tax-related provisions in Minnesota, including individual income taxes, corporate franchise taxes, sales and use taxes, as well as other tax-related policies. It also seeks to implement technical changes to improve the clarity and effectiveness of the state's tax system.
Main Provisions
- Individual Income and Corporate Franchise Taxes: The bill proposes changes to how individual and corporate income taxes are calculated and enforced. It includes modifications to income tax credits and subtractions, which will affect how much taxpayers owe or are refunded.
- Sales and Use Taxes: Adjustments are made to exemptions, collections, and deposits related to sales and use taxes. This could impact how businesses collect and remit sales tax.
- Partnership Provisions: Amends rules and regulations concerning partnerships, potentially affecting how they report income and pay taxes.
- Property Tax Classification: Changes to property tax classifications can alter tax rates for certain types of properties.
- Tax Enforcement: Modifications to enforcement, return filing, and audit provisions aim to enhance compliance and streamline processes.
Significant Changes
- The bill allows a tax credit of up to 25 percent for certain eligible production costs, available to taxpayers who obtain a credit certificate.
- Various Minnesota Statutes are amended to reflect these changes, including updates to subdivisions covering credit allocations and tax payment procedures.
Relevant Terms
income tax credits, corporate taxes, sales tax exemptions, use taxes, tax enforcement, property tax classification, audit provisions, partnership taxation.
Bill text versions
- Introduction PDF file
Actions
| Date | Chamber | Where | Type | Name | Committee Name |
|---|---|---|---|---|---|
| March 26, 2025 | Senate | Floor | Action | Introduction and first reading | |
| March 26, 2025 | Senate | Floor | Action | Referred to | Taxes |
Citations
[
{
"analysis": {
"added": [
"Clarification on the credit eligibility based on production costs."
],
"removed": [
""
],
"summary": "This section relates to tax credits for production costs under section 116U.27.",
"modified": [
"Amends the period for claiming the production cost credit."
]
},
"citation": "116U.27",
"subdivision": "subdivision 2"
},
{
"analysis": {
"added": [
""
],
"removed": [
""
],
"summary": "This section deals with modifications to tax compliance and auditing under section 270C.445.",
"modified": [
"Modifies auditing provisions and tax compliance requirements."
]
},
"citation": "270C.445",
"subdivision": "subdivisions 3, 6"
},
{
"analysis": {
"added": [
""
],
"removed": [
""
],
"summary": "Modifying property tax classification under section 273.13.",
"modified": [
"Changes to property tax classification system."
]
},
"citation": "273.13",
"subdivision": "subdivision 22"
},
{
"analysis": {
"added": [
""
],
"removed": [
""
],
"summary": "Changes to enforcement and return provisions under section 289A.08.",
"modified": [
"Updates enforcement rules and return filing procedures."
]
},
"citation": "289A.08",
"subdivision": "subdivision 7a"
},
{
"analysis": {
"added": [
""
],
"removed": [
""
],
"summary": "Modifications to audit provisions under section 289A.12.",
"modified": [
"Revises audit protocols for tax returns."
]
},
"citation": "289A.12",
"subdivision": "subdivision 18"
},
{
"analysis": {
"added": [
""
],
"removed": [
""
],
"summary": "Amending tax payment procedures in section 289A.31.",
"modified": [
"Updates payment timelines and procedures."
]
},
"citation": "289A.31",
"subdivision": "subdivision 1"
},
{
"analysis": {
"added": [
""
],
"removed": [
""
],
"summary": "Adjustments to definitions for tax purposes under section 290.01.",
"modified": [
"Revises definitions affecting taxation."
]
},
"citation": "290.01",
"subdivision": "subdivision 19"
},
{
"analysis": {
"added": [
""
],
"removed": [
""
],
"summary": "Modifications to income subtractions and adjustments under section 290.0132.",
"modified": [
"Adjusts income subtractions for tax calculations."
]
},
"citation": "290.0132",
"subdivision": "subdivisions 26, 34"
},
{
"analysis": {
"added": [
""
],
"removed": [
""
],
"summary": "Changes to allowable tax subtractions under section 290.0134.",
"modified": [
"Alters subtraction criteria for tax purposes."
]
},
"citation": "290.0134",
"subdivision": "subdivision 20"
},
{
"analysis": {
"added": [
""
],
"removed": [
""
],
"summary": "Amendments to tax credit rules under section 290.0693.",
"modified": [
"Revises eligibility and calculation of tax credits."
]
},
"citation": "290.0693",
"subdivision": "subdivisions 1, 6, 8"
},
{
"analysis": {
"added": [
""
],
"removed": [
""
],
"summary": "Changes to special tax provisions under section 290.0695.",
"modified": [
"Updates related to special tax provisions."
]
},
"citation": "290.0695",
"subdivision": "subdivision 2"
},
{
"analysis": {
"added": [
""
],
"removed": [
""
],
"summary": "Modifications to sales tax exemptions in section 297A.71.",
"modified": [
"Changes to types of transactions exempted from sales tax."
]
},
"citation": "297A.71",
"subdivision": "subdivision 54"
},
{
"analysis": {
"added": [
""
],
"removed": [
""
],
"summary": "Adjustments to sales tax refund rules under section 297A.75.",
"modified": [
"New conditions for claiming sales tax refunds."
]
},
"citation": "297A.75",
"subdivision": "subdivisions 1, 2, 3"
},
{
"analysis": {
"added": [
""
],
"removed": [
""
],
"summary": "Changes to distribution of tax collections in section 297A.94.",
"modified": [
"Updates on how tax collections are allocated."
]
},
"citation": "297A.94",
"subdivision": ""
},
{
"analysis": {
"added": [
""
],
"removed": [
""
],
"summary": "Updates to local sales tax guidelines under section 297A.99.",
"modified": [
"Revisions to guidelines for local sales tax implementation."
]
},
"citation": "297A.99",
"subdivision": "subdivision 10"
},
{
"analysis": {
"added": [
""
],
"removed": [
""
],
"summary": "Modifications to rules on sales taxation of certain services under section 297A.995.",
"modified": [
"Changes in taxation rules for specified services."
]
},
"citation": "297A.995",
"subdivision": "subdivisions 2, 10"
},
{
"analysis": {
"added": [
""
],
"removed": [
""
],
"summary": "Amendment related to gambling taxes under section 297E.06.",
"modified": [
"Revises taxation rules on gambling proceeds."
]
},
"citation": "297E.06",
"subdivision": "subdivision 4"
},
{
"analysis": {
"added": [
""
],
"removed": [
""
],
"summary": "Changes to insurance premium taxes under section 297I.20.",
"modified": [
"Adjustments to tax calculations for insurance premiums."
]
},
"citation": "297I.20",
"subdivision": "subdivision 4"
}
]