AI Generated Summary
Purpose of the Bill
The bill aims to modify various tax-related provisions in Minnesota, affecting individual income taxes, corporate franchise taxes, property taxes, and other related areas. It seeks to update tax statutes, repeal certain credits, adjust exemptions, and lower specific tax rates.
Main Provisions
Income and Corporate Franchise Taxes: Changes are made to the handling of individual income taxes and corporate franchise taxes, alongside modifying the research credit to be partially refundable and revising transfer protocols for short line railroad credits.
Property Taxes: Adjustments are proposed for the taxation on leased tax-exempt properties and real property related to airline flights, as well as altering aspects of attachments and appurtenances for property taxes.
Sales and Use Tax: The bill proposes a reduction to the sales and use tax rate while expanding the tax base to include sales of certain professional services, which had not previously been taxed.
Local Government Aids: Changes include repealing cannabis-related aid and tax revenue dedication previously allocated to local governments.
Environmental and Technological Funding: Appropriations for aquatic invasive species prevention are reduced, and measures are introduced to modernize tax filings and payment systems.
Significant Changes to Existing Law
Assignability of Education Credit: The bill repeals the ability to assign the education credit, impacting how this credit can be transferred or used.
Sustainable Forest Incentive Act: It modifies calculation methods for payments under this act, affecting financial incentives for sustainable forestry practices.
Tax Filing Modernization and Cancellations: The bill cancels specified tax-related amounts and demands a report, aiming to modernize filing processes and streamline operations.
Sustainable Aviation Fuel: The bill also provides definitions and tax incentives for sustainable aviation fuels, aiming to encourage the production and blending of these eco-friendly fuels.
Relevant Terms
- Individual income taxes
- Corporate franchise taxes
- Property taxes
- Sales and use tax
- Research credit
- Sustainable aviation fuel
- Aquatic invasive species
- Cannabis tax revenue
- Tax filing modernization
- Sustainable Forest Incentive Act
Bill text versions
- Introduction PDF file
Actions
| Date | Chamber | Where | Type | Name | Committee Name |
|---|---|---|---|---|---|
| March 09, 2025 | Senate | Floor | Action | Introduction and first reading | |
| March 09, 2025 | Senate | Floor | Action | Referred to | Taxes |
Citations
[
{
"analysis": {
"added": [
"New definitions for terms such as 'qualifying taxpayer' and 'sustainable aviation fuel'."
],
"removed": [
"None identified."
],
"summary": "This bill modifies definitions related to sustainable aviation fuel in section 41A.30.",
"modified": [
"Clarifies the criteria for sustainable aviation fuels to meet specific greenhouse gas emission reduction standards."
]
},
"citation": "41A.30"
},
{
"analysis": {
"added": [
"References to subdivisions that define related terms."
],
"removed": [
"None identified."
],
"summary": "This bill refers to meanings provided in section 296A.01 for aircraft, aviation gasoline, and jet fuel.",
"modified": [
"None identified."
]
},
"citation": "296A.01"
},
{
"analysis": {
"added": [
"Integration of taxpayer definition in context of sustainable aviation fuel production."
],
"removed": [
"None identified."
],
"summary": "Defines 'qualifying taxpayer' in reference to taxpayer definitions in section 290.01.",
"modified": [
"Specifies qualifying activities for taxpayers under this statute."
]
},
"citation": "290.01"
},
{
"analysis": {
"added": [
"Inclusion of biomass definition relevant to sustainable aviation fuel."
],
"removed": [
"None identified."
],
"summary": "Provides definitions related to biomass as referred to in section 41A.15.",
"modified": [
"None identified."
]
},
"citation": "41A.15"
}
]