Minnesota 2025-2026 Regular Session

Minnesota House Bill HF1635

Introduced
2/27/25  

Caption

Pollution control business surcharge imposed.

Impact

The enactment of HF1635 would modify existing taxation laws in Minnesota, particularly in regard to corporate and individual income tax assessments. By imposing this surcharge on businesses classified as pollution control violators, the law seeks to instill stricter adherence to regulations among these entities. This measure is expected to yield financial resources that may be funneled into pollution control programs and efforts, thereby promoting environmental sustainability. However, it could also lead to increased operational costs for affected businesses, potentially spurring debates about financial implications on local economies and employment.

Summary

House File 1635 proposes the imposition of a pollution control surcharge on corporations, individuals, trusts, and estates, specifically targeting entities with certified violations related to pollution control. The bill stipulates a surcharge rate of five percent on the net pollution control income derived from these businesses. This newly introduced surcharge aims to enhance compliance with pollution regulations and generate additional revenue for environmental protection efforts. The legislative intent behind HF1635 is to reinforce the state’s commitment to mitigating pollution and ensuring that businesses are held accountable for their environmental impact.

Contention

Discussions surrounding HF1635 may bring about notable contention between environmental advocacy groups and business associations. Supporters of the bill argue that it addresses a critical need for robust mechanisms to penalize and rectify environmental violations, promoting overall public health and ecosystem sustainability. Conversely, critics of the surcharge may express concerns over its financial burden on businesses, particularly small businesses that are also facing other economic pressures. The balance between advancing environmental safeguards and supporting business viability will likely be a central theme in the upcoming debates regarding HF1635.

Companion Bills

MN SF2288

Similar To Certain businesses pollution control surcharge provision

Previously Filed As

MN SF4661

Pollution control surcharge on certain businesses enforcement

MN HF3583

Individual income tax and corporate franchise tax provisions modified, and pollution control surcharge imposed on certain businesses.

MN HF31

Individual income and corporate franchise tax provisions modified, and federal tax provisions conformity provided.

MN HF1372

Various policy and technical changes made to individual income and corporate franchise taxes, fire and police state aids, tax-related data practices provisions, and other miscellaneous taxes and tax provisions.

MN SF783

Tax provisions modifications

MN SF25

Certain conformity provision to federal tax provisions

MN HF5002

Policy and technical changes made to individual income and corporate franchise taxes, sales and use taxes, property taxes and local government aids, and other miscellaneous taxes and tax-related provisions.

MN SF5085

Miscellaneous taxes and tax-related provisions policy and technical changes

MN HF526

Single-member LLCs allowed to claim income tax credits for income taxes paid to other states, and exemption modified for sales of property used in a trade or business.

MN HF1938

Tax finance and policy bill.

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