SF2103

The bill, S.F. No. 2103, proposes changes to Minnesota's tax law by removing the refundability of the Child Tax Credit and the Working Family Credit. Specifically, it:

1. Amends Minnesota Statutes section 289A.08, subdivision 1, regarding individual income tax return filing requirements.
2. Amends Minnesota Statutes section 290.0661, subdivision 9, likely to reflect the removal of refundability for the Child Tax Credit.
3. Repeals Minnesota Statutes:
   • Section 290.0661, subdivisions 6 and 8, which likely concern refundable provisions of the Child Tax Credit.
   • Section 290.0671, subdivision 4, which likely pertains to the refundable portion of the Working Family Credit.

Key Impact

• Taxpayers will no longer receive refundable portions of the Child Tax Credit and Working Family Credit, meaning if their tax liability is zero, they won't receive a refund based on these credits.
• Low-income families, who previously relied on these refundable credits for additional financial support, may be negatively impacted.

The bill was introduced on March 3, 2025, and referred to the Senate Taxes Committee for further review.