Minnesota 2023-2024 Regular Session

Minnesota House Bill HF31 Compare Versions

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Version 2 (New)

Old	New		Differences
1	1		1.1 A bill for an act
2	2		1.2 relating to taxation; individual income and corporate franchise; providing for
3	3		1.3 certain conformity to federal tax provisions; amending Minnesota Statutes 2022,
4	4		1.4 sections 289A.02, subdivision 7; 289A.08, subdivisions 7, 7a; 290.01, subdivisions
5	5		1.5 19, 31, by adding a subdivision; 290.0123, subdivision 3; 290.0131, by adding
6	6		1.6 subdivisions; 290.0132, by adding subdivisions; 290.0133, by adding a subdivision;
7	7		1.7 290.0134, by adding a subdivision; 290.06, subdivision 2c; 290.0671, subdivision
8	8		1.8 1a; 290.0675, subdivision 1; 290.091, subdivision 2; 290.095, subdivision 11;
9	9		1.9 290A.03, subdivision 15; 291.005, subdivision 1; repealing Minnesota Statutes
10	10		1.10 2022, section 290.0111.
11	11		1.11BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:
12	12		1.12 Section 1. Minnesota Statutes 2022, section 289A.02, subdivision 7, is amended to read:
13	13		1.13 Subd. 7.Internal Revenue Code.Unless specifically defined otherwise, "Internal
14	14		1.14Revenue Code" means the Internal Revenue Code of 1986, as amended through December
15	15		1.1531, 2018 December 15, 2022.
16	16		1.16 EFFECTIVE DATE.This section is effective the day following final enactment, except
17	17		1.17the changes incorporated by federal changes are effective retroactively at the same time the
18	18		1.18changes were effective for federal purposes.
19	19		1.19 Sec. 2. Minnesota Statutes 2022, section 289A.08, subdivision 7, is amended to read:
20	20		1.20 Subd. 7.Composite income tax returns for nonresident partners, shareholders, and
21	21		1.21beneficiaries.(a) The commissioner may allow a partnership with nonresident partners to
22	22		1.22file a composite return and to pay the tax on behalf of nonresident partners who have no
23	23		1.23other Minnesota source income. This composite return must include the names, addresses,
24	24		1Sec. 2.
25		-	REVISOR EAP H0031-2HF31 SECOND ENGROSSMENT
26		-	1
27		-	Printed
28		-	Page No.State of Minnesota
	25	+	REVISOR EAP H0031-1HF31 FIRST ENGROSSMENT
	26	+	State of Minnesota
29	27		This Document can be made available
30	28		in alternative formats upon request
31	29		HOUSE OF REPRESENTATIVES
32	30		H. F. No. 31
33	31		NINETY-THIRD SESSION
34	32		Authored by Gomez, Lislegard, Youakim, Norris, Bahner and others01/04/2023
35	33		The bill was read for the first time and referred to the Committee on Taxes
36		-	Adoption of Report: Amended and re-referred to the Committee on Ways and Means01/05/2023
37		-	Adoption of Report: Placed on the General Register as Amended01/09/2023
38		-	Read for the Second Time
39		-	R/S Rules Suspended, urgency declared
40		-	Read for the Third Time
41		-	Passed by the House and transmitted to the Senate 2.1Social Security numbers, income allocation, and tax liability for the nonresident partners
	34	+	Adoption of Report: Amended and re-referred to the Committee on Ways and Means01/05/2023 2.1Social Security numbers, income allocation, and tax liability for the nonresident partners
42	35		2.2electing to be covered by the composite return.
43	36		2.3 (b) The computation of a partner's tax liability must be determined by multiplying the
44	37		2.4income allocated to that partner by the highest rate used to determine the tax liability for
45	38		2.5individuals under section 290.06, subdivision 2c. Nonbusiness deductions, standard
46	39		2.6deductions, or personal exemptions are not allowed.
47	40		2.7 (c) The partnership must submit a request to use this composite return filing method for
48	41		2.8nonresident partners. The requesting partnership must file a composite return in the form
49	42		2.9prescribed by the commissioner of revenue. The filing of a composite return is considered
50	43		2.10a request to use the composite return filing method.
51	44		2.11 (d) The electing partner must not have any Minnesota source income other than the
52	45		2.12income from the partnership, other electing partnerships, and other qualifying entities
53	46		2.13electing to file and pay the pass-through entity tax under subdivision 7a. If it is determined
54	47		2.14that the electing partner has other Minnesota source income, the inclusion of the income
55	48		2.15and tax liability for that partner under this provision will not constitute a return to satisfy
56	49		2.16the requirements of subdivision 1. The tax paid for the individual as part of the composite
57	50		2.17return is allowed as a payment of the tax by the individual on the date on which the composite
58	51		2.18return payment was made. If the electing nonresident partner has no other Minnesota source
59	52		2.19income, filing of the composite return is a return for purposes of subdivision 1.
60	53		2.20 (e) This subdivision does not negate the requirement that an individual pay estimated
61	54		2.21tax if the individual's liability would exceed the requirements set forth in section 289A.25.
62	55		2.22The individual's liability to pay estimated tax is, however, satisfied when the partnership
63	56		2.23pays composite estimated tax in the manner prescribed in section 289A.25.
64	57		2.24 (f) If an electing partner's share of the partnership's gross income from Minnesota sources
65	58		2.25is less than the filing requirements for a nonresident under this subdivision, the tax liability
66	59		2.26is zero. However, a statement showing the partner's share of gross income must be included
67	60		2.27as part of the composite return.
68	61		2.28 (g) The election provided in this subdivision is only available to a partner who has no
69	62		2.29other Minnesota source income and who is either (1) a full-year nonresident individual or
70	63		2.30(2) a trust or estate that does not claim a deduction under either section 651 or 661 of the
71	64		2.31Internal Revenue Code.
72	65		2.32 (h) A corporation defined in section 290.9725 and its nonresident shareholders may
73	66		2.33make an election under this paragraph. The provisions covering the partnership apply to
74	67		2.34the corporation and the provisions applying to the partner apply to the shareholder.
75	68		2Sec. 2.
76		-	REVISOR EAP H0031-2HF31 ~~SECOND~~ ENGROSSMENT 3.1 (i) Estates and trusts distributing current income only and the nonresident individual
	69	+	REVISOR EAP H0031-1HF31 FIRST ENGROSSMENT 3.1 (i) Estates and trusts distributing current income only and the nonresident individual
77	70		3.2beneficiaries of the estates or trusts may make an election under this paragraph. The
78	71		3.3provisions covering the partnership apply to the estate or trust. The provisions applying to
79	72		3.4the partner apply to the beneficiary.
80	73		3.5 (j) For the purposes of this subdivision, "income" means the partner's share of federal
81	74		3.6adjusted gross income from the partnership modified by the additions provided in section
82		-	3.7290.0131, subdivisions 8 to 10, 16, and 17, and the subtractions provided in: (1) section
83		-	3.8290.0132, subdivisions 9, 27, and 28, and 31, to the extent the amount is assignable or
84		-	3.9allocable to Minnesota under section 290.17; and (2) section 290.0132, subdivision 14. The
85		-	3.10subtraction allowed under section 290.0132, subdivision 9, is only allowed on the composite
86		-	3.11tax computation to the extent the electing partner would have been allowed the subtraction.
87		-	3.12 EFFECTIVE DATE.This section is effective for taxable years beginning after December
88		-	3.1331, 2022.
89		-	3.14 Sec. 3. Minnesota Statutes 2022, section 289A.08, subdivision 7a, is amended to read:
90		-	3.15 Subd. 7a.Pass-through entity tax.(a) For the purposes of this subdivision, the following
91		-	3.16terms have the meanings given:
92		-	3.17 (1) "income" has the meaning given in subdivision 7, paragraph (j), modified by the
93		-	3.18addition provided in section 290.0131, subdivision 5, and the subtraction provided in section
94		-	3.19290.0132, subdivision 3, except that the provisions that apply to a partnership apply to a
95		-	3.20qualifying entity and the provisions that apply to a partner apply to a qualifying owner. The
96		-	3.21income of both a resident and nonresident qualifying owner is allocated and assigned to
97		-	3.22this state as provided for nonresident partners and shareholders under sections 290.17,
98		-	3.23290.191, and 290.20;
99		-	3.24 (2) "qualifying entity" means a partnership, limited liability company, or S corporation
100		-	3.25including a qualified subchapter S subsidiary organized under section 1361(b)(3)(B) of the
101		-	3.26Internal Revenue Code. Qualifying entity does not include a partnership, limited liability
102		-	3.27company, or corporation that has a partnership, limited liability company other than a
103		-	3.28disregarded entity, or corporation as a partner, member, or shareholder; and
104		-	3.29 (3) "qualifying owner" means:
105		-	3.30 (i) a resident or nonresident individual or estate that is a partner, member, or shareholder
106		-	3.31of a qualifying entity; or
107		-	3.32 (ii) a resident or nonresident trust that is a shareholder of a qualifying entity that is an
108		-	3.33S corporation.
	75	+	3.7290.0131, subdivisions 8 to 10, 16, and 17, 19, and 20, and the subtractions provided in:
	76	+	3.8(1) section 290.0132, subdivisions 9, 27, and 28, 31, and 32, to the extent the amount is
	77	+	3.9assignable or allocable to Minnesota under section 290.17; and (2) section 290.0132,
	78	+	3.10subdivision 14. The subtraction allowed under section 290.0132, subdivision 9, is only
	79	+	3.11allowed on the composite tax computation to the extent the electing partner would have
	80	+	3.12been allowed the subtraction.
	81	+	3.13 EFFECTIVE DATE.This section is effective retroactively for taxable years beginning
	82	+	3.14after December 31, 2017.
	83	+	3.15 Sec. 3. Minnesota Statutes 2022, section 289A.08, subdivision 7a, is amended to read:
	84	+	3.16 Subd. 7a.Pass-through entity tax.(a) For the purposes of this subdivision, the following
	85	+	3.17terms have the meanings given:
	86	+	3.18 (1) "income" has the meaning given in subdivision 7, paragraph (j), modified by the
	87	+	3.19addition provided in section 290.0131, subdivision 5, and the subtraction provided in section
	88	+	3.20290.0132, subdivision 3, except that the provisions that apply to a partnership apply to a
	89	+	3.21qualifying entity and the provisions that apply to a partner apply to a qualifying owner. The
	90	+	3.22income of both a resident and nonresident qualifying owner is allocated and assigned to
	91	+	3.23this state as provided for nonresident partners and shareholders under sections 290.17,
	92	+	3.24290.191, and 290.20;
	93	+	3.25 (2) "qualifying entity" means a partnership, limited liability company, or S corporation
	94	+	3.26including a qualified subchapter S subsidiary organized under section 1361(b)(3)(B) of the
	95	+	3.27Internal Revenue Code. Qualifying entity does not include a partnership, limited liability
	96	+	3.28company, or corporation that has a partnership, limited liability company other than a
	97	+	3.29disregarded entity, or corporation as a partner, member, or shareholder; and
	98	+	3.30 (3) "qualifying owner" means:
	99	+	3.31 (i) a resident or nonresident individual or estate that is a partner, member, or shareholder
	100	+	3.32of a qualifying entity; or
109	101		3Sec. 3.
110		-	REVISOR EAP H0031-2HF31 SECOND ENGROSSMENT 4.1 (b) For taxable years beginning after December 31, 2020, in which the taxes of a
111		-	4.2qualifying owner are limited under section 164(b)(6)(B) of the Internal Revenue Code, a
112		-	4.3qualifying entity may elect to file a return and pay the pass-through entity tax imposed under
113		-	4.4paragraph (c). The election:
114		-	4.5 (1) must be made on or before the due date or extended due date of the qualifying entity's
115		-	4.6pass-through entity tax return;
116		-	4.7 (2) may only be made by qualifying owners who collectively hold more than a 50 percent
117		-	4.8ownership interest in the qualifying entity;
118		-	4.9 (3) is binding on all qualifying owners who have an ownership interest in the qualifying
119		-	4.10entity; and
120		-	4.11 (4) once made is irrevocable for the taxable year.
121		-	4.12 (c) Subject to the election in paragraph (b), a pass-through entity tax is imposed on a
122		-	4.13qualifying entity in an amount equal to the sum of the tax liability of each qualifying owner.
123		-	4.14 (d) The amount of a qualifying owner's tax liability under paragraph (c) is the amount
124		-	4.15of the qualifying owner's income multiplied by the highest tax rate for individuals under
125		-	4.16section 290.06, subdivision 2c. When making this determination:
126		-	4.17 (1) nonbusiness deductions, standard deductions, or personal exemptions are not allowed;
127		-	4.18and
128		-	4.19 (2) a credit or deduction is allowed only to the extent allowed to the qualifying owner.
129		-	4.20 (e) The amount of each credit and deduction used to determine a qualifying owner's tax
130		-	4.21liability under paragraph (d) must also be used to determine that qualifying owner's income
131		-	4.22tax liability under chapter 290.
132		-	4.23 (f) This subdivision does not negate the requirement that a qualifying owner pay estimated
133		-	4.24tax if the qualifying owner's tax liability would exceed the requirements set forth in section
134		-	4.25289A.25. The qualifying owner's liability to pay estimated tax on the qualifying owner's
135		-	4.26tax liability as determined under paragraph (d) is, however, satisfied when the qualifying
136		-	4.27entity pays estimated tax in the manner prescribed in section 289A.25 for composite estimated
137		-	4.28tax.
138		-	4.29 (g) A qualifying owner's adjusted basis in the interest in the qualifying entity, and the
139		-	4.30treatment of distributions, is determined as if the election to pay the pass-through entity tax
140		-	4.31under paragraph (b) is not made.
	102	+	REVISOR EAP H0031-1HF31 FIRST ENGROSSMENT 4.1 (ii) a resident or nonresident trust that is a shareholder of a qualifying entity that is an
	103	+	4.2S corporation.
	104	+	4.3 (b) For taxable years beginning after December 31, 2020, in which the taxes of a
	105	+	4.4qualifying owner are limited under section 164(b)(6)(B) of the Internal Revenue Code, a
	106	+	4.5qualifying entity may elect to file a return and pay the pass-through entity tax imposed under
	107	+	4.6paragraph (c). The election:
	108	+	4.7 (1) must be made on or before the due date or extended due date of the qualifying entity's
	109	+	4.8pass-through entity tax return;
	110	+	4.9 (2) may only be made by qualifying owners who collectively hold more than a 50 percent
	111	+	4.10ownership interest in the qualifying entity;
	112	+	4.11 (3) is binding on all qualifying owners who have an ownership interest in the qualifying
	113	+	4.12entity; and
	114	+	4.13 (4) once made is irrevocable for the taxable year.
	115	+	4.14 (c) Subject to the election in paragraph (b), a pass-through entity tax is imposed on a
	116	+	4.15qualifying entity in an amount equal to the sum of the tax liability of each qualifying owner.
	117	+	4.16 (d) The amount of a qualifying owner's tax liability under paragraph (c) is the amount
	118	+	4.17of the qualifying owner's income multiplied by the highest tax rate for individuals under
	119	+	4.18section 290.06, subdivision 2c. When making this determination:
	120	+	4.19 (1) nonbusiness deductions, standard deductions, or personal exemptions are not allowed;
	121	+	4.20and
	122	+	4.21 (2) a credit or deduction is allowed only to the extent allowed to the qualifying owner.
	123	+	4.22 (e) The amount of each credit and deduction used to determine a qualifying owner's tax
	124	+	4.23liability under paragraph (d) must also be used to determine that qualifying owner's income
	125	+	4.24tax liability under chapter 290.
	126	+	4.25 (f) This subdivision does not negate the requirement that a qualifying owner pay estimated
	127	+	4.26tax if the qualifying owner's tax liability would exceed the requirements set forth in section
	128	+	4.27289A.25. The qualifying owner's liability to pay estimated tax on the qualifying owner's
	129	+	4.28tax liability as determined under paragraph (d) is, however, satisfied when the qualifying
	130	+	4.29entity pays estimated tax in the manner prescribed in section 289A.25 for composite estimated
	131	+	4.30tax.
141	132		4Sec. 3.
142		-	REVISOR EAP H0031-2HF31 SECOND ENGROSSMENT 5.1 (h) To the extent not inconsistent with this subdivision, for purposes of this chapter, a
143		-	5.2pass-through entity tax return must be treated as a composite return and a qualifying entity
144		-	5.3filing a pass-through entity tax return must be treated as a partnership filing a composite
145		-	5.4return.
146		-	5.5 (i) The provisions of subdivision 17 apply to the election to pay the pass-through entity
147		-	5.6tax under this subdivision.
148		-	5.7 (j) If a nonresident qualifying owner of a qualifying entity making the election to file
149		-	5.8and pay the tax under this subdivision has no other Minnesota source income, filing of the
150		-	5.9pass-through entity tax return is a return for purposes of subdivision 1, provided that the
151		-	5.10nonresident qualifying owner must not have any Minnesota source income other than the
152		-	5.11income from the qualifying entity, other electing qualifying entities, and other partnerships
153		-	5.12electing to file a composite return under subdivision 7. If it is determined that the nonresident
154		-	5.13qualifying owner has other Minnesota source income, the inclusion of the income and tax
155		-	5.14liability for that owner under this provision will not constitute a return to satisfy the
156		-	5.15requirements of subdivision 1. The tax paid for the qualifying owner as part of the
157		-	5.16pass-through entity tax return is allowed as a payment of the tax by the qualifying owner
158		-	5.17on the date on which the pass-through entity tax return payment was made.
159		-	5.18 (k) Once a credit is claimed by a qualifying owner under section 290.06, subdivision
160		-	5.1940, a qualifying entity cannot receive a refund for tax paid under this subdivision for any
161		-	5.20amounts claimed under that section by the qualifying owners. Once a credit is claimed under
162		-	5.21section 290.06, subdivision 40, any refund must be claimed in conjunction with a return
163		-	5.22filed by the qualifying owner.
164		-	5.23 EFFECTIVE DATE.This section is effective retroactively for taxable years beginning
165		-	5.24after December 31, 2020.
166		-	5.25 Sec. 4. Minnesota Statutes 2022, section 290.01, subdivision 19, is amended to read:
167		-	5.26 Subd. 19.Net income.(a) For a trust or estate taxable under section 290.03, and a
168		-	5.27corporation taxable under section 290.02, the term "net income" means the federal taxable
169		-	5.28income, as defined in section 63 of the Internal Revenue Code of 1986, as amended through
170		-	5.29the date named in this subdivision, incorporating the federal effective dates of changes to
171		-	5.30the Internal Revenue Code and any elections made by the taxpayer in accordance with the
172		-	5.31Internal Revenue Code in determining federal taxable income for federal income tax
173		-	5.32purposes, and with the modifications provided in sections 290.0131 to 290.0136.
	133	+	REVISOR EAP H0031-1HF31 FIRST ENGROSSMENT 5.1 (g) A qualifying owner's adjusted basis in the interest in the qualifying entity, and the
	134	+	5.2treatment of distributions, is determined as if the election to pay the pass-through entity tax
	135	+	5.3under paragraph (b) is not made.
	136	+	5.4 (h) To the extent not inconsistent with this subdivision, for purposes of this chapter, a
	137	+	5.5pass-through entity tax return must be treated as a composite return and a qualifying entity
	138	+	5.6filing a pass-through entity tax return must be treated as a partnership filing a composite
	139	+	5.7return.
	140	+	5.8 (i) The provisions of subdivision 17 apply to the election to pay the pass-through entity
	141	+	5.9tax under this subdivision.
	142	+	5.10 (j) If a nonresident qualifying owner of a qualifying entity making the election to file
	143	+	5.11and pay the tax under this subdivision has no other Minnesota source income, filing of the
	144	+	5.12pass-through entity tax return is a return for purposes of subdivision 1, provided that the
	145	+	5.13nonresident qualifying owner must not have any Minnesota source income other than the
	146	+	5.14income from the qualifying entity, other electing qualifying entities, and other partnerships
	147	+	5.15electing to file a composite return under subdivision 7. If it is determined that the nonresident
	148	+	5.16qualifying owner has other Minnesota source income, the inclusion of the income and tax
	149	+	5.17liability for that owner under this provision will not constitute a return to satisfy the
	150	+	5.18requirements of subdivision 1. The tax paid for the qualifying owner as part of the
	151	+	5.19pass-through entity tax return is allowed as a payment of the tax by the qualifying owner
	152	+	5.20on the date on which the pass-through entity tax return payment was made.
	153	+	5.21 (k) Once a credit is claimed by a qualifying owner under section 290.06, subdivision
	154	+	5.2240, a qualifying entity cannot receive a refund for tax paid under this subdivision for any
	155	+	5.23amounts claimed under that section by the qualifying owners. Once a credit is claimed under
	156	+	5.24section 290.06, subdivision 40, any refund must be claimed in conjunction with a return
	157	+	5.25filed by the qualifying owner.
	158	+	5.26 EFFECTIVE DATE.This section is effective retroactively for taxable years beginning
	159	+	5.27after December 31, 2020.
	160	+	5.28 Sec. 4. Minnesota Statutes 2022, section 290.01, subdivision 19, is amended to read:
	161	+	5.29 Subd. 19.Net income.(a) For a trust or estate taxable under section 290.03, and a
	162	+	5.30corporation taxable under section 290.02, the term "net income" means the federal taxable
	163	+	5.31income, as defined in section 63 of the Internal Revenue Code of 1986, as amended through
	164	+	5.32the date named in this subdivision, incorporating the federal effective dates of changes to
	165	+	5.33the Internal Revenue Code and any elections made by the taxpayer in accordance with the
174	166		5Sec. 4.
175		-	REVISOR EAP H0031-2HF31 SECOND ENGROSSMENT 6.1 (b) For an individual, the term "net income" means federal adjusted gross income with
176		-	6.2the modifications provided in sections 290.0131, 290.0132, and 290.0135 to 290.0137.
177		-	6.3 (c) In the case of a regulated investment company or a fund thereof, as defined in section
178		-	6.4851(a) or 851(g) of the Internal Revenue Code, federal taxable income means investment
179		-	6.5company taxable income as defined in section 852(b)(2) of the Internal Revenue Code,
180		-	6.6except that:
181		-	6.7 (1) the exclusion of net capital gain provided in section 852(b)(2)(A) of the Internal
182		-	6.8Revenue Code does not apply;
183		-	6.9 (2) the deduction for dividends paid under section 852(b)(2)(D) of the Internal Revenue
184		-	6.10Code must be applied by allowing a deduction for capital gain dividends and exempt-interest
185		-	6.11dividends as defined in sections 852(b)(3)(C) and 852(b)(5) of the Internal Revenue Code;
186		-	6.12and
187		-	6.13 (3) the deduction for dividends paid must also be applied in the amount of any
188		-	6.14undistributed capital gains which the regulated investment company elects to have treated
189		-	6.15as provided in section 852(b)(3)(D) of the Internal Revenue Code.
190		-	6.16 (d) The net income of a real estate investment trust as defined and limited by section
191		-	6.17856(a), (b), and (c) of the Internal Revenue Code means the real estate investment trust
192		-	6.18taxable income as defined in section 857(b)(2) of the Internal Revenue Code.
193		-	6.19 (e) The net income of a designated settlement fund as defined in section 468B(d) of the
194		-	6.20Internal Revenue Code means the gross income as defined in section 468B(b) of the Internal
195		-	6.21Revenue Code.
196		-	6.22 (f) The Internal Revenue Code of 1986, as amended through December 31, 2018
197		-	6.23December 15, 2022, applies for taxable years beginning after December 31, 1996, except
198		-	6.24the sections of federal law in section 290.0111 shall also apply.
199		-	6.25 (g) Except as otherwise provided, references to the Internal Revenue Code in this
200		-	6.26subdivision and sections 290.0131 to 290.0136 mean the code in effect for purposes of
201		-	6.27determining net income for the applicable year.
202		-	6.28 EFFECTIVE DATE.This section is effective the day following final enactment, except
203		-	6.29the changes incorporated by federal changes are effective retroactively at the same time the
204		-	6.30changes were effective for federal purposes.
	167	+	REVISOR EAP H0031-1HF31 FIRST ENGROSSMENT 6.1Internal Revenue Code in determining federal taxable income for federal income tax
	168	+	6.2purposes, and with the modifications provided in sections 290.0131 to 290.0136.
	169	+	6.3 (b) For an individual, the term "net income" means federal adjusted gross income with
	170	+	6.4the modifications provided in sections 290.0131, 290.0132, and 290.0135 to 290.0137.
	171	+	6.5 (c) In the case of a regulated investment company or a fund thereof, as defined in section
	172	+	6.6851(a) or 851(g) of the Internal Revenue Code, federal taxable income means investment
	173	+	6.7company taxable income as defined in section 852(b)(2) of the Internal Revenue Code,
	174	+	6.8except that:
	175	+	6.9 (1) the exclusion of net capital gain provided in section 852(b)(2)(A) of the Internal
	176	+	6.10Revenue Code does not apply;
	177	+	6.11 (2) the deduction for dividends paid under section 852(b)(2)(D) of the Internal Revenue
	178	+	6.12Code must be applied by allowing a deduction for capital gain dividends and exempt-interest
	179	+	6.13dividends as defined in sections 852(b)(3)(C) and 852(b)(5) of the Internal Revenue Code;
	180	+	6.14and
	181	+	6.15 (3) the deduction for dividends paid must also be applied in the amount of any
	182	+	6.16undistributed capital gains which the regulated investment company elects to have treated
	183	+	6.17as provided in section 852(b)(3)(D) of the Internal Revenue Code.
	184	+	6.18 (d) The net income of a real estate investment trust as defined and limited by section
	185	+	6.19856(a), (b), and (c) of the Internal Revenue Code means the real estate investment trust
	186	+	6.20taxable income as defined in section 857(b)(2) of the Internal Revenue Code.
	187	+	6.21 (e) The net income of a designated settlement fund as defined in section 468B(d) of the
	188	+	6.22Internal Revenue Code means the gross income as defined in section 468B(b) of the Internal
	189	+	6.23Revenue Code.
	190	+	6.24 (f) The Internal Revenue Code of 1986, as amended through December 31, 2018
	191	+	6.25December 15, 2022, applies for taxable years beginning after December 31, 1996, except
	192	+	6.26the sections of federal law in section 290.0111 shall also apply.
	193	+	6.27 (g) Except as otherwise provided, references to the Internal Revenue Code in this
	194	+	6.28subdivision and sections 290.0131 to 290.0136 mean the code in effect for purposes of
	195	+	6.29determining net income for the applicable year.
	196	+	6.30 EFFECTIVE DATE.This section is effective the day following final enactment, except
	197	+	6.31the changes incorporated by federal changes are effective retroactively at the same time the
	198	+	6.32changes were effective for federal purposes.
205	199		6Sec. 4.
206		-	REVISOR EAP H0031-2HF31 ~~SECOND~~ ENGROSSMENT 7.1 Sec. 5. Minnesota Statutes 2022, section 290.01, subdivision 31, is amended to read:
	200	+	REVISOR EAP H0031-1HF31 FIRST ENGROSSMENT 7.1 Sec. 5. Minnesota Statutes 2022, section 290.01, subdivision 31, is amended to read:
207	201		7.2 Subd. 31.Internal Revenue Code.Unless specifically defined otherwise, "Internal
208	202		7.3Revenue Code" means the Internal Revenue Code of 1986, as amended through December
209	203		7.431, 2018, except the sections of federal law in section 290.0111 shall also apply December
210	204		7.515, 2022. Internal Revenue Code also includes any uncodified provision in federal law that
211	205		7.6relates to provisions of the Internal Revenue Code that are incorporated into Minnesota law.
212	206		7.7 EFFECTIVE DATE.This section is effective the day following final enactment, except
213	207		7.8the changes incorporated by federal changes are effective retroactively at the same time the
214	208		7.9changes were effective for federal purposes.
215	209		7.10 Sec. 6. Minnesota Statutes 2022, section 290.01, is amended by adding a subdivision to
216	210		7.11read:
217	211		7.12 Subd. 33.Earned income."Earned income" has the meaning given in section 32(c) of
218	212		7.13the Internal Revenue Code, except a taxpayer must use earned income from the taxable year
219	213		7.14for which the taxpayer filed a return.
220	214		7.15 EFFECTIVE DATE.This section is effective the day following final enactment.
221	215		7.16 Sec. 7. Minnesota Statutes 2022, section 290.0123, subdivision 3, is amended to read:
222	216		7.17 Subd. 3.Amount for dependents.For an individual who is a dependent, as defined in
223	217		7.18sections 151 and 152 of the Internal Revenue Code, of another taxpayer for a taxable year
224	218		7.19beginning in the calendar year in which the individual's taxable year begins, the standard
225	219		7.20deduction for that individual is limited to the greater of:
226	220		7.21 (1) $1,100; or
227	221		7.22 (2) the lesser of: (i) the sum of $350 and that individual's earned income, as defined in
228	222		7.23section 32(c) of the Internal Revenue Code; or (ii) the standard deduction amount allowed
229	223		7.24under subdivision 1, clause (3).
230	224		7.25 EFFECTIVE DATE.This section is effective the day following final enactment.
231	225		7.26 Sec. 8. Minnesota Statutes 2022, section 290.0131, is amended by adding a subdivision
232	226		7.27to read:
233	227		7.28 Subd. 19.Disallowed business interest deduction.For any taxable year beginning after
234	228		7.29December 31, 2018, and before January 1, 2021, the amount of business interest deducted
235	229		7.30under the special rule in section 163(j)(10)(A) and (B) of the Internal Revenue Code of
236	230		7.311986, as amended through December 15, 2022, is an addition. Entities that are part of a
237	231		7Sec. 8.
238		-	REVISOR EAP H0031-2HF31 ~~SECOND~~ ENGROSSMENT 8.1combined reporting group under the unitary rules in section 290.17, subdivision 4, must
	232	+	REVISOR EAP H0031-1HF31 FIRST ENGROSSMENT 8.1combined reporting group under the unitary rules in section 290.17, subdivision 4, must
239	233		8.2compute deductions and additions as required under section 290.34, subdivision 5.
240	234		8.3 EFFECTIVE DATE.This section is effective the day following final enactment, except
241	235		8.4the changes incorporated by federal changes are effective retroactively at the same time the
242	236		8.5changes were effective for federal purposes.
243	237		8.6 Sec. 9. Minnesota Statutes 2022, section 290.0131, is amended by adding a subdivision
244	238		8.7to read:
245	239		8.8 Subd. 20.Disallowed net operating loss deduction.(a) The amount of a net operating
246	240		8.9loss arising in any taxable year beginning after December 31, 2017, and before January 1,
247	241		8.102021, and carried back under section 172(b)(1)(D) of the Internal Revenue Code is an
248	242		8.11addition in the taxable year the loss is carried. No addition is required for a net operating
249	243		8.12loss deduction that is a farming loss under section 172(b)(1)(B) of the Internal Revenue
250	244		8.13Code carried to the two years preceding the year the farming loss arose.
251	245		8.14 (b) The amount of a net operating loss deduction in any taxable year beginning after
252	246		8.15December 31, 2017, and before January 1, 2021, that exceeds the deduction allowed under
253	247		8.16section 172(a)(2) of the Internal Revenue Code is an addition. For purposes of this paragraph,
254	248		8.17the deduction allowed under section 172(a)(2) of the Internal Revenue Code is allowed in
255	249		8.18the case of a taxable year beginning after December 31, 2017.
256	250		8.19 (c) The amount of a Minnesota disallowed loss carryover is an addition. For purposes
257	251		8.20of this paragraph, "Minnesota disallowed loss carryover" means, for any taxable year
258	252		8.21beginning after December 31, 2017, and before January 1, 2021, a disallowed loss carryover
259	253		8.22as defined in section 461(l)(2) of the Internal Revenue Code, for a loss that is not allowed
260	254		8.23under section 461(l)(1)(B) of the Internal Revenue Code. For purposes of this paragraph,
261	255		8.24the limitation under section 461(l)(1)(B) of the Internal Revenue Code applies for any
262	256		8.25taxable year beginning after December 31, 2017.
263	257		8.26 (d) For purposes for this subdivision, "Internal Revenue Code" means the Internal
264	258		8.27Revenue Code of 1986, as amended through December 15, 2022.
265	259		8.28 EFFECTIVE DATE.This section is effective the day following final enactment, except
266	260		8.29the changes incorporated by federal changes are effective retroactively at the same time the
267	261		8.30changes were effective for federal purposes.
268	262		8Sec. 9.
269		-	REVISOR EAP H0031-2HF31 ~~SECOND~~ ENGROSSMENT 9.1 Sec. 10. Minnesota Statutes 2022, section 290.0132, is amended by adding a subdivision
	263	+	REVISOR EAP H0031-1HF31 FIRST ENGROSSMENT 9.1 Sec. 10. Minnesota Statutes 2022, section 290.0132, is amended by adding a subdivision
270	264		9.2to read:
271	265		9.3 Subd. 31.Delayed business interest.(a) For each taxable year an addition is required
272	266		9.4under section 290.0131, subdivision 19, the amount of the addition, less the sum of all
273	267		9.5amounts subtracted under this paragraph in all prior taxable years, that does not exceed the
274	268		9.6limitation on business interest in section 163(j) of the Internal Revenue Code of 1986, as
275	269		9.7amended through December 15, 2022, notwithstanding the special rule in section 163(j)(10)
276	270		9.8of the Internal Revenue Code, is a subtraction. Any excess is a delayed business interest
277	271		9.9carryforward, the entire amount of which must be carried to the earliest taxable year. No
278	272		9.10subtraction is allowed under this paragraph for taxable years beginning after December 31,
279	273		9.112022.
280	274		9.12 (b) For each of the five taxable years beginning after December 31, 2022, there is allowed
281	275		9.13a subtraction equal to one-fifth of the sum of all carryforward amounts that remain after the
282	276		9.14expiration of paragraph (a).
283	277		9.15 (c) Entities that are part of a combined reporting group under the unitary rules of section
284	278		9.16290.17, subdivision 4, must compute deductions and additions as required under section
285	279		9.17290.34, subdivision 5.
286	280		9.18 EFFECTIVE DATE.Paragraphs (a) and (c) are effective retroactively for taxable years
287	281		9.19beginning after December 31, 2019. Paragraph (b) is effective for taxable years beginning
288	282		9.20after December 31, 2022.
289	283		9.21 Sec. 11. Minnesota Statutes 2022, section 290.0132, is amended by adding a subdivision
290	284		9.22to read:
291	285		9.23 Subd. 32.Delayed net operating loss deduction.The amount of the sum of each addition
292	286		9.24required in section 290.0131, subdivision 20, for each taxable year, except as otherwise
293	287		9.25provided, less the sum of all amounts subtracted under this subdivision in all prior taxable
294	288		9.26years, that does not exceed 80 percent of federal taxable income as defined in section 290.01,
295	289		9.27subdivision 19, determined without regard to this subdivision, is a subtraction. Any excess
296	290		9.28is a delayed net operating loss deduction carryforward, the entire amount of which must be
297	291		9.29carried to the earliest taxable year. No subtraction under this subdivision is allowed after
298	292		9.3020 taxable years from the taxable year in which an operating loss arises. The sum of the
299	293		9.31additions required under section 290.0131, subdivision 20, paragraph (a), are aggregated
300	294		9.32and assigned to the taxable year immediately succeeding the taxable year in which the
301	295		9.33operating loss arises, for purposes of determining the subtraction allowed under this
302	296		9.34subdivision in that succeeding taxable year and the amount carried forward.
303	297		9Sec. 11.
304		-	REVISOR EAP H0031-2HF31 ~~SECOND~~ ENGROSSMENT 10.1 EFFECTIVE DATE.This section is effective retroactively for taxable years beginning
	298	+	REVISOR EAP H0031-1HF31 FIRST ENGROSSMENT 10.1 EFFECTIVE DATE.This section is effective retroactively for taxable years beginning
305	299		10.2after December 31, 2018.
306	300		10.3 Sec. 12. Minnesota Statutes 2022, section 290.0132, is amended by adding a subdivision
307	301		10.4to read:
308	302		10.5 Subd. 33.Excess business losses.The amount of a disallowed loss carryover under
309	303		10.6section 461(l)(1)(B) of the Internal Revenue Code is a subtraction.
310	304		10.7 EFFECTIVE DATE.This section is effective for taxable years beginning after December
311	305		10.831, 2025.
312	306		10.9 Sec. 13. Minnesota Statutes 2022, section 290.0133, is amended by adding a subdivision
313	307		10.10to read:
314	308		10.11 Subd. 15.Disallowed business interest deduction.For any taxable year beginning after
315	309		10.12December 31, 2018, and before January 1, 2021, the amount of business interest deducted
316	310		10.13under the special rule in section 163(j)(10)(A) and (B) of the Internal Revenue Code of
317	311		10.141986, as amended through December 15, 2022, is an addition. Entities that are part of a
318	312		10.15combined reporting group under the unitary rules in section 290.17, subdivision 4, must
319	313		10.16compute deductions and additions as required under section 290.34, subdivision 5.
320	314		10.17 EFFECTIVE DATE.This section is effective the day following final enactment, except
321	315		10.18the changes incorporated by federal changes are effective retroactively at the same time the
322	316		10.19changes were effective for federal purposes.
323	317		10.20Sec. 14. Minnesota Statutes 2022, section 290.0134, is amended by adding a subdivision
324	318		10.21to read:
325	319		10.22 Subd. 20.Delayed business interest.(a) For each taxable year an addition is required
326	320		10.23under section 290.0131, subdivision 19, the amount of the addition, less the sum of all
327	321		10.24amounts subtracted under this paragraph in all prior taxable years, that does not exceed the
328	322		10.25limitation on business interest in section 163(j) of the Internal Revenue Code of 1986, as
329	323		10.26amended through December 15, 2022, notwithstanding the special rule in section 163(j)(10)
330	324		10.27of the Internal Revenue Code, is a subtraction. Any excess is a delayed business interest
331	325		10.28carryforward, the entire amount of which must be carried to the earliest taxable year. No
332	326		10.29subtraction is allowed under this paragraph for taxable years beginning after December 31,
333	327		10.302022.
334	328		10Sec. 14.
335		-	REVISOR EAP H0031-2HF31 ~~SECOND~~ ENGROSSMENT 11.1 (b) For each of the five taxable years beginning after December 31, 2022, there is allowed
	329	+	REVISOR EAP H0031-1HF31 FIRST ENGROSSMENT 11.1 (b) For each of the five taxable years beginning after December 31, 2022, there is allowed
336	330		11.2a subtraction equal to one-fifth of the sum of all carryforward amounts that remain after the
337	331		11.3expiration of paragraph (a).
338	332		11.4 (c) Entities that are part of a combined reporting group under the unitary rules of section
339	333		11.5290.17, subdivision 4, must compute deductions and additions as required under section
340	334		11.6290.34, subdivision 5.
341	335		11.7 EFFECTIVE DATE.Paragraphs (a) and (c) are effective retroactively for taxable years
342	336		11.8beginning after December 31, 2019. Paragraph (b) is effective for taxable years beginning
343	337		11.9after December 31, 2022.
344	338		11.10Sec. 15. Minnesota Statutes 2022, section 290.06, subdivision 2c, is amended to read:
345	339		11.11 Subd. 2c.Schedules of rates for individuals, estates, and trusts.(a) The income taxes
346	340		11.12imposed by this chapter upon married individuals filing joint returns and surviving spouses
347	341		11.13as defined in section 2(a) of the Internal Revenue Code must be computed by applying to
348	342		11.14their taxable net income the following schedule of rates:
349	343		11.15 (1) On the first $38,770, 5.35 percent;
350	344		11.16 (2) On all over $38,770, but not over $154,020, 6.8 percent;
351	345		11.17 (3) On all over $154,020, but not over $269,010, 7.85 percent;
352	346		11.18 (4) On all over $269,010, 9.85 percent.
353	347		11.19 Married individuals filing separate returns, estates, and trusts must compute their income
354	348		11.20tax by applying the above rates to their taxable income, except that the income brackets
355	349		11.21will be one-half of the above amounts after the adjustment required in subdivision 2d.
356	350		11.22 (b) The income taxes imposed by this chapter upon unmarried individuals must be
357	351		11.23computed by applying to taxable net income the following schedule of rates:
358	352		11.24 (1) On the first $26,520, 5.35 percent;
359	353		11.25 (2) On all over $26,520, but not over $87,110, 6.8 percent;
360	354		11.26 (3) On all over $87,110, but not over $161,720, 7.85 percent;
361	355		11.27 (4) On all over $161,720, 9.85 percent.
362	356		11.28 (c) The income taxes imposed by this chapter upon unmarried individuals qualifying as
363	357		11.29a head of household as defined in section 2(b) of the Internal Revenue Code must be
364	358		11.30computed by applying to taxable net income the following schedule of rates:
365	359		11Sec. 15.
366		-	REVISOR EAP H0031-2HF31 ~~SECOND~~ ENGROSSMENT 12.1 (1) On the first $32,650, 5.35 percent;
	360	+	REVISOR EAP H0031-1HF31 FIRST ENGROSSMENT 12.1 (1) On the first $32,650, 5.35 percent;
367	361		12.2 (2) On all over $32,650, but not over $131,190, 6.8 percent;
368	362		12.3 (3) On all over $131,190, but not over $214,980, 7.85 percent;
369	363		12.4 (4) On all over $214,980, 9.85 percent.
370	364		12.5 (d) In lieu of a tax computed according to the rates set forth in this subdivision, the tax
371	365		12.6of any individual taxpayer whose taxable net income for the taxable year is less than an
372	366		12.7amount determined by the commissioner must be computed in accordance with tables
373	367		12.8prepared and issued by the commissioner of revenue based on income brackets of not more
374	368		12.9than $100. The amount of tax for each bracket shall be computed at the rates set forth in
375	369		12.10this subdivision, provided that the commissioner may disregard a fractional part of a dollar
376	370		12.11unless it amounts to 50 cents or more, in which case it may be increased to $1.
377	371		12.12 (e) An individual who is not a Minnesota resident for the entire year must compute the
378	372		12.13individual's Minnesota income tax as provided in this subdivision. After the application of
379	373		12.14the nonrefundable credits provided in this chapter, the tax liability must then be multiplied
380	374		12.15by a fraction in which:
381	375		12.16 (1) the numerator is the individual's Minnesota source federal adjusted gross income as
382	376		12.17defined in section 62 of the Internal Revenue Code and increased by:
383	377		12.18 (i) the additions required under sections 290.0131, subdivisions 2, 6, 8 to 10, 16, and
384		-	12.1917, and 290.0137, paragraph (a); and reduced by
	378	+	12.1917, 19, and 20, and 290.0137, paragraph (a); and reduced by
385	379		12.20 (ii) the Minnesota assignable portion of the subtraction for United States government
386	380		12.21interest under section 290.0132, subdivision 2, the subtractions under sections 290.0132,
387		-	12.22subdivisions 9, 10, 14, 15, 17, 18, and 27, and 31, and 290.0137, paragraph (c), after ~~applying~~
388		-	12.~~23the~~ allocation and assignability provisions of section 290.081, clause (a), or 290.17; ~~and~~
389		-	12.~~24 (2) the denominator is the individual's federal adjusted gross income as defined in section~~
390		-	12.~~2562 of~~ the ~~Internal Revenue Code,~~ ~~increased by:~~
391		-	12.~~26 (i)~~ the ~~additions required under sections 290.0131~~, ~~subdivisions 2, 6, 8 to 10, 16, and~~
392		-	12.~~2717~~, and ~~290.0137, paragraph (a); and reduced by~~
393		-	12.~~28 (ii) the subtractions under sections~~ 290.~~0132~~, ~~subdivisions 2, 9, 10, 14, 15, 17, 18,~~ and
394		-	12.~~2927~~, and ~~31, and 290.0137, paragraph (c).~~
395		-	12.30 (f) ~~If an individual who is not a Minnesota resident for the entire year is a qualifying~~
396		-	12.~~31owner of~~ a qualifying ~~entity that elects to pay tax as provided in section 289A.08, subdivision~~
397		-	12.~~327a, paragraph (b), the individual must compute the individual's Minnesota income~~ tax as
	381	+	12.22subdivisions 9, 10, 14, 15, 17, 18, and 27, 31, and 32, and 290.0137, paragraph (c), after
	382	+	12.23applying the allocation and assignability provisions of section 290.081, clause (a), or 290.17;
	383	+	12.24and
	384	+	12.25 (2) the denominator is the individual's federal adjusted gross income as defined in section
	385	+	12.2662 of the Internal Revenue Code, increased by:
	386	+	12.27 (i) the additions required under sections 290.0131, subdivisions 2, 6, 8 to 10, 16, and
	387	+	12.2817, 19, and 20, and 290.0137, paragraph (a); and reduced by
	388	+	12.29 (ii) the subtractions under sections 290.0132, subdivisions 2, 9, 10, 14, 15, 17, 18, and
	389	+	12.3027, 31, and 32, and 290.0137, paragraph (c).
	390	+	12.31 (f) If an individual who is not a Minnesota resident for the entire year is a qualifying
	391	+	12.32owner of a qualifying entity that elects to pay tax as provided in section 289A.08, subdivision
398	392		12Sec. 15.
399		-	REVISOR EAP H0031-2HF31 SECOND ENGROSSMENT 13.1provided in paragraph (e), and also must include, to the extent attributed to the electing
400		-	13.2qualifying entity:
401		-	13.3 (1) in paragraph (e), clause (1), item (i), and paragraph (e), clause (2), item (i), the
402		-	13.4addition under section 290.0131, subdivision 5; and
403		-	13.5 (2) in paragraph (e), clause (1), item (ii), and paragraph (e), clause (2), item (ii), the
404		-	13.6subtraction under section 290.0132, subdivision 3.
405		-	13.7 EFFECTIVE DATE.This section is effective for taxable years beginning after December
406		-	13.831, 2022.
407		-	13.9 Sec. 16. Minnesota Statutes 2022, section 290.0671, subdivision 1a, is amended to read:
408		-	13.10 Subd. 1a.Definitions.For purposes of this section, the terms term "qualifying child,"
409		-	13.11and "earned income," have has the meanings meaning given in section 32(c) of the Internal
410		-	13.12Revenue Code, and the term "adjusted gross income" has the meaning given in section 62
411		-	13.13of the Internal Revenue Code.
412		-	13.14 "Earned income of the lesser-earning spouse" has the meaning given in section 290.0675,
413		-	13.15subdivision 1, paragraph (d).
414		-	13.16 EFFECTIVE DATE.This section is effective the day following final enactment.
415		-	13.17Sec. 17. Minnesota Statutes 2022, section 290.0675, subdivision 1, is amended to read:
416		-	13.18 Subdivision 1.Definitions.(a) For purposes of this section the following terms have
417		-	13.19the meanings given.
418		-	13.20 (b) "Earned income" means the sum of the following, to the extent included in Minnesota
419		-	13.21taxable income:
420		-	13.22 (1) earned income as defined in section 32(c)(2) of the Internal Revenue Code 290.01,
421		-	13.23subdivision 33;
422		-	13.24 (2) income received from a retirement pension, profit-sharing, stock bonus, or annuity
423		-	13.25plan; and
424		-	13.26 (3) Social Security benefits as defined in section 86(d)(1) of the Internal Revenue Code.
425		-	13.27 (c) "Taxable income" means net income as defined in section 290.01, subdivision 19.
426		-	13.28 (d) "Earned income of lesser-earning spouse" means the earned income of the spouse
427		-	13.29with the lesser amount of earned income as defined in paragraph (b) for the taxable year
	393	+	REVISOR EAP H0031-1HF31 FIRST ENGROSSMENT 13.17a, paragraph (b), the individual must compute the individual's Minnesota income tax as
	394	+	13.2provided in paragraph (e), and also must include, to the extent attributed to the electing
	395	+	13.3qualifying entity:
	396	+	13.4 (1) in paragraph (e), clause (1), item (i), and paragraph (e), clause (2), item (i), the
	397	+	13.5addition under section 290.0131, subdivision 5; and
	398	+	13.6 (2) in paragraph (e), clause (1), item (ii), and paragraph (e), clause (2), item (ii), the
	399	+	13.7subtraction under section 290.0132, subdivision 3.
	400	+	13.8 EFFECTIVE DATE.This section is effective retroactively for taxable years beginning
	401	+	13.9after December 31, 2017.
	402	+	13.10Sec. 16. Minnesota Statutes 2022, section 290.0671, subdivision 1a, is amended to read:
	403	+	13.11 Subd. 1a.Definitions.For purposes of this section, the terms term "qualifying child,"
	404	+	13.12and "earned income," have has the meanings meaning given in section 32(c) of the Internal
	405	+	13.13Revenue Code, and the term "adjusted gross income" has the meaning given in section 62
	406	+	13.14of the Internal Revenue Code.
	407	+	13.15 "Earned income of the lesser-earning spouse" has the meaning given in section 290.0675,
	408	+	13.16subdivision 1, paragraph (d).
	409	+	13.17 EFFECTIVE DATE.This section is effective the day following final enactment.
	410	+	13.18Sec. 17. Minnesota Statutes 2022, section 290.0675, subdivision 1, is amended to read:
	411	+	13.19 Subdivision 1.Definitions.(a) For purposes of this section the following terms have
	412	+	13.20the meanings given.
	413	+	13.21 (b) "Earned income" means the sum of the following, to the extent included in Minnesota
	414	+	13.22taxable income:
	415	+	13.23 (1) earned income as defined in section 32(c)(2) of the Internal Revenue Code 290.01,
	416	+	13.24subdivision 33;
	417	+	13.25 (2) income received from a retirement pension, profit-sharing, stock bonus, or annuity
	418	+	13.26plan; and
	419	+	13.27 (3) Social Security benefits as defined in section 86(d)(1) of the Internal Revenue Code.
	420	+	13.28 (c) "Taxable income" means net income as defined in section 290.01, subdivision 19.
	421	+	13.29 (d) "Earned income of lesser-earning spouse" means the earned income of the spouse
	422	+	13.30with the lesser amount of earned income as defined in paragraph (b) for the taxable year
428	423		13Sec. 17.
429		-	REVISOR EAP H0031-2HF31 ~~SECOND~~ ENGROSSMENT 14.1minus one-half the amount of the standard deduction under section 290.0123, subdivision
	424	+	REVISOR EAP H0031-1HF31 FIRST ENGROSSMENT 14.1minus one-half the amount of the standard deduction under section 290.0123, subdivision
430	425		14.21, clause (1).
431	426		14.3 EFFECTIVE DATE.This section is effective the day following final enactment.
432	427		14.4 Sec. 18. Minnesota Statutes 2022, section 290.091, subdivision 2, is amended to read:
433	428		14.5 Subd. 2.Definitions.For purposes of the tax imposed by this section, the following
434	429		14.6terms have the meanings given.
435	430		14.7 (a) "Alternative minimum taxable income" means the sum of the following for the taxable
436	431		14.8year:
437	432		14.9 (1) the taxpayer's federal alternative minimum taxable income as defined in section
438	433		14.1055(b)(2) 55(b)(1)(D) of the Internal Revenue Code;
439	434		14.11 (2) the taxpayer's itemized deductions allowed in computing federal alternative minimum
440	435		14.12taxable income, but excluding:
441	436		14.13 (i) the charitable contribution deduction under section 170 of the Internal Revenue Code;
442	437		14.14 (ii) the medical expense deduction;
443	438		14.15 (iii) the casualty, theft, and disaster loss deduction; and
444	439		14.16 (iv) the impairment-related work expenses of a person with a disability;
445	440		14.17 (3) for depletion allowances computed under section 613A(c) of the Internal Revenue
446	441		14.18Code, with respect to each property (as defined in section 614 of the Internal Revenue Code),
447	442		14.19to the extent not included in federal alternative minimum taxable income, the excess of the
448	443		14.20deduction for depletion allowable under section 611 of the Internal Revenue Code for the
449	444		14.21taxable year over the adjusted basis of the property at the end of the taxable year (determined
450	445		14.22without regard to the depletion deduction for the taxable year);
451	446		14.23 (4) to the extent not included in federal alternative minimum taxable income, the amount
452	447		14.24of the tax preference for intangible drilling cost under section 57(a)(2) of the Internal Revenue
453	448		14.25Code determined without regard to subparagraph (E);
454	449		14.26 (5) to the extent not included in federal alternative minimum taxable income, the amount
455	450		14.27of interest income as provided by section 290.0131, subdivision 2;
456		-	14.28 (6) the amount of addition required by section 290.0131, subdivisions 9, 10, and 16;
457		-	14.29 (7) the deduction allowed under section 199A of the Internal Revenue Code, to the extent
458		-	14.30not included in the addition required under clause (6); and
	451	+	14.28 (6) the amount of addition required by section 290.0131, subdivisions 9, 10, and 16, 19,
	452	+	14.29and 20;
	453	+	14.30 (7) the deduction allowed under section 199A of the Internal Revenue Code, to the extent
	454	+	14.31not included in the addition required under clause (6); and
459	455		14Sec. 18.
460		-	REVISOR EAP H0031-2HF31 ~~SECOND~~ ENGROSSMENT 15.1 (8) to the extent not included in federal alternative minimum taxable income, the amount
	456	+	REVISOR EAP H0031-1HF31 FIRST ENGROSSMENT 15.1 (8) to the extent not included in federal alternative minimum taxable income, the amount
461	457		15.2of foreign-derived intangible income deducted under section 250 of the Internal Revenue
462	458		15.3Code;
463	459		15.4 less the sum of the amounts determined under the following:
464	460		15.5 (i) interest income as defined in section 290.0132, subdivision 2;
465	461		15.6 (ii) an overpayment of state income tax as provided by section 290.0132, subdivision
466	462		15.73, to the extent included in federal alternative minimum taxable income;
467	463		15.8 (iii) the amount of investment interest paid or accrued within the taxable year on
468	464		15.9indebtedness to the extent that the amount does not exceed net investment income, as defined
469	465		15.10in section 163(d)(4) of the Internal Revenue Code. Interest does not include amounts deducted
470	466		15.11in computing federal adjusted gross income;
471	467		15.12 (iv) amounts subtracted from federal taxable or adjusted gross income as provided by
472		-	15.13section 290.0132, subdivisions 7, 9 to 15, 17, 21, 24, and 26 to 29, and 31;
	468	+	15.13section 290.0132, subdivisions 7, 9 to 15, 17, 21, 24, and 26 to 29, 31, and 32;
473	469		15.14 (v) the amount of the net operating loss allowed under section 290.095, subdivision 11,
474	470		15.15paragraph (c); and
475	471		15.16 (vi) the amount allowable as a Minnesota itemized deduction under section 290.0122,
476	472		15.17subdivision 7.
477	473		15.18 In the case of an estate or trust, alternative minimum taxable income must be computed
478	474		15.19as provided in section 59(c) of the Internal Revenue Code, except alternative minimum
479	475		15.20taxable income must be increased by the addition in section 290.0131, subdivision 16.
480	476		15.21 (b) "Investment interest" means investment interest as defined in section 163(d)(3) of
481	477		15.22the Internal Revenue Code.
482	478		15.23 (c) "Net minimum tax" means the minimum tax imposed by this section.
483	479		15.24 (d) "Regular tax" means the tax that would be imposed under this chapter (without regard
484	480		15.25to this section and section 290.032), reduced by the sum of the nonrefundable credits allowed
485	481		15.26under this chapter.
486	482		15.27 (e) "Tentative minimum tax" equals 6.75 percent of alternative minimum taxable income
487	483		15.28after subtracting the exemption amount determined under subdivision 3.
488	484		15.29 EFFECTIVE DATE.(a) The changes in paragraph (a), clause (1), are effective at the
489	485		15.30same time the changes in section 10101(a)(4)(A) of Public Law 117-169 are effective for
490	486		15.31federal purposes.
491	487		15Sec. 18.
492		-	REVISOR EAP H0031-2HF31 SECOND ENGROSSMENT 16.1 (b) All other changes are effective for taxable years beginning after December 31, 2022.
493		-	16.2 Sec. 19. Minnesota Statutes 2022, section 290.095, subdivision 11, is amended to read:
494		-	16.3 Subd. 11.Carryback or carryover adjustments.(a) Except as provided in paragraph
495		-	16.4paragraphs (c) and (d), for individuals, estates, and trusts the amount of a net operating loss
496		-	16.5that may be carried back or carried over shall be the same dollar amount allowable in the
497		-	16.6determination of federal taxable income, provided that, notwithstanding any other provision,
498		-	16.7estates and trusts must apply the following adjustments to the amount of the net operating
499		-	16.8loss that may be carried back or carried over:
500		-	16.9 (1) Nonassignable income or losses as required by section 290.17.
501		-	16.10 (2) Deductions not allocable to Minnesota under section 290.17.
502		-	16.11 (b) The net operating loss carryback or carryover applied as a deduction in the taxable
503		-	16.12year to which the net operating loss is carried back or carried over shall be equal to the net
504		-	16.13operating loss carryback or carryover applied in the taxable year in arriving at federal taxable
505		-	16.14income provided that trusts and estates must apply the following modifications:
506		-	16.15 (1) Increase the amount of carryback or carryover applied in the taxable year by the
507		-	16.16amount of losses and interest, taxes and other expenses not assignable or allowable to
508		-	16.17Minnesota incurred in the taxable year.
509		-	16.18 (2) Decrease the amount of carryback or carryover applied in the taxable year by the
510		-	16.19amount of income not assignable to Minnesota earned in the taxable year. For estates and
511		-	16.20trusts, the net operating loss carryback or carryover to the next consecutive taxable year
512		-	16.21shall be the net operating loss carryback or carryover as calculated in clause (b) less the
513		-	16.22amount applied in the earlier taxable year(s). No additional net operating loss carryback or
514		-	16.23carryover shall be allowed to estates and trusts if the entire amount has been used to offset
515		-	16.24Minnesota income in a year earlier than was possible on the federal return. However, if a
516		-	16.25net operating loss carryback or carryover was allowed to offset federal income in a year
517		-	16.26earlier than was possible on the Minnesota return, an estate or trust shall still be allowed to
518		-	16.27offset Minnesota income but only if the loss was assignable to Minnesota in the year the
519		-	16.28loss occurred.
520		-	16.29 (c) This paragraph does not apply to eligible small businesses that make a valid election
521		-	16.30to carry back their losses for federal purposes under section 172(b)(1)(H) of the Internal
522		-	16.31Revenue Code as amended through March 31, 2009.
523		-	16.32 (1) A net operating loss of an individual, estate, or trust that is allowed under this
524		-	16.33subdivision and for which the taxpayer elects to carry back for more than two years under
	488	+	REVISOR EAP H0031-1HF31 FIRST ENGROSSMENT 16.1 (b) All other changes are effective retroactively for taxable years beginning after
	489	+	16.2December 31, 2017.
	490	+	16.3 Sec. 19. Minnesota Statutes 2022, section 290.095, subdivision 11, is amended to read:
	491	+	16.4 Subd. 11.Carryback or carryover adjustments.(a) Except as provided in paragraph
	492	+	16.5paragraphs (c) and (d), for individuals, estates, and trusts the amount of a net operating loss
	493	+	16.6that may be carried back or carried over shall be the same dollar amount allowable in the
	494	+	16.7determination of federal taxable income, provided that, notwithstanding any other provision,
	495	+	16.8estates and trusts must apply the following adjustments to the amount of the net operating
	496	+	16.9loss that may be carried back or carried over:
	497	+	16.10 (1) Nonassignable income or losses as required by section 290.17.
	498	+	16.11 (2) Deductions not allocable to Minnesota under section 290.17.
	499	+	16.12 (b) The net operating loss carryback or carryover applied as a deduction in the taxable
	500	+	16.13year to which the net operating loss is carried back or carried over shall be equal to the net
	501	+	16.14operating loss carryback or carryover applied in the taxable year in arriving at federal taxable
	502	+	16.15income provided that trusts and estates must apply the following modifications:
	503	+	16.16 (1) Increase the amount of carryback or carryover applied in the taxable year by the
	504	+	16.17amount of losses and interest, taxes and other expenses not assignable or allowable to
	505	+	16.18Minnesota incurred in the taxable year.
	506	+	16.19 (2) Decrease the amount of carryback or carryover applied in the taxable year by the
	507	+	16.20amount of income not assignable to Minnesota earned in the taxable year. For estates and
	508	+	16.21trusts, the net operating loss carryback or carryover to the next consecutive taxable year
	509	+	16.22shall be the net operating loss carryback or carryover as calculated in clause (b) less the
	510	+	16.23amount applied in the earlier taxable year(s). No additional net operating loss carryback or
	511	+	16.24carryover shall be allowed to estates and trusts if the entire amount has been used to offset
	512	+	16.25Minnesota income in a year earlier than was possible on the federal return. However, if a
	513	+	16.26net operating loss carryback or carryover was allowed to offset federal income in a year
	514	+	16.27earlier than was possible on the Minnesota return, an estate or trust shall still be allowed to
	515	+	16.28offset Minnesota income but only if the loss was assignable to Minnesota in the year the
	516	+	16.29loss occurred.
	517	+	16.30 (c) This paragraph does not apply to eligible small businesses that make a valid election
	518	+	16.31to carry back their losses for federal purposes under section 172(b)(1)(H) of the Internal
	519	+	16.32Revenue Code as amended through March 31, 2009.
525	520		16Sec. 19.
526		-	REVISOR EAP H0031-2HF31 ~~SECOND~~ ENGROSSMENT 17.~~1section 172(b)~~(1)~~(H) of the Internal Revenue Code is~~ a net operating loss ~~carryback to each~~
527		-	17.~~2of~~ the two ~~taxable~~ years ~~preceding the loss, and unused portions may be carried forward for~~
528		-	17.~~320 taxable years after~~ the loss.
529		-	17.~~4 (2)~~ The ~~entire amount of~~ the ~~net operating loss for any taxable year must~~ be carried to
530		-	17.~~5the earliest of the~~ taxable years ~~to which~~ the loss ~~may be carried~~. ~~The portion of the loss~~
531		-	17.~~6which may~~ be carried to ~~each of the other taxable years is the excess, if any, of the amount~~
532		-	17.~~7of the loss over the greater~~ of the taxable ~~net income or alternative minimum taxable income~~
533		-	17.~~8for~~ each of the taxable years ~~to which~~ the ~~loss may be carried.~~
534		-	17.~~9 (d)~~ The ~~amount~~ of a net ~~operating loss carried forward must be reduced by any amounts~~
535		-	17.~~10used for~~ the ~~subtraction in section 290.0132, subdivision 33, in~~ the ~~next taxable year~~
536		-	17.~~11following~~ the ~~subtraction in which~~ a net operating loss ~~deduction is claimed.~~
537		-	17.~~12 EFFECTIVE DATE.This~~ section ~~is effective for~~ taxable ~~years beginning after December~~
538		-	17.~~1331, 2025~~.
539		-	17.~~14Sec~~. ~~20. Minnesota Statutes 2022,~~ section ~~290A.03, subdivision 15,~~ is ~~amended to read:~~
540		-	17.~~15 Subd~~. ~~15.Internal Revenue Code."Internal Revenue Code" means the Internal Revenue~~
541		-	17.~~16Code of 1986~~, ~~as amended through December 31~~, ~~2018 December~~ 15, ~~2022.~~
542		-	17.17 ~~EFFECTIVE DATE~~.~~This section is effective retroactively beginning with refunds~~
543		-	17.~~18based on rent paid in 2021 and property taxes payable in~~ 2022.
544		-	17.~~19Sec~~. ~~21. Minnesota Statutes 2022,~~ section ~~291.005, subdivision 1,~~ is ~~amended to read:~~
545		-	17.~~20 Subdivision 1~~.~~Scope.Unless the context otherwise clearly requires, the following terms~~
546		-	17.~~21used in this chapter shall have the following meanings~~:
547		-	17.22 (1~~) "Commissioner" means~~ the ~~commissioner of revenue or any person to whom~~ the
548		-	17.~~23commissioner has delegated functions under~~ this chapter.
549		-	17.24 (2) "~~Federal gross estate~~" means the ~~gross estate~~ of ~~a decedent as required~~ to ~~be valued~~
550		-	17.~~25and otherwise determined for federal estate tax purposes~~ under ~~the Internal Revenue Code,~~
551		-	17.~~26increased by~~ the ~~value~~ of ~~any property in which the~~ decedent ~~had a qualifying income interest~~
552		-	17.~~27for life and~~ for ~~which an election was made~~ under ~~section 291.03~~, ~~subdivision 1d, for~~
553		-	17.~~28Minnesota estate tax purposes,~~ ~~but was not made for federal estate tax purposes.~~
554		-	17.~~29 (3) "Internal~~ ~~Revenue Code"~~ ~~means the United States Internal Revenue Code of 1986~~,
555		-	17.~~30as amended through December 31~~, ~~2018 December 15,~~ ~~2022~~.
	521	+	REVISOR EAP H0031-1HF31 FIRST ENGROSSMENT 17.1 (1) A net operating loss of an individual, estate, or trust that is allowed under this
	522	+	17.2subdivision and for which the taxpayer elects to carry back for more than two years under
	523	+	17.3section 172(b)(1)(H) of the Internal Revenue Code is a net operating loss carryback to each
	524	+	17.4of the two taxable years preceding the loss, and unused portions may be carried forward for
	525	+	17.520 taxable years after the loss.
	526	+	17.6 (2) The entire amount of the net operating loss for any taxable year must be carried to
	527	+	17.7the earliest of the taxable years to which the loss may be carried. The portion of the loss
	528	+	17.8which may be carried to each of the other taxable years is the excess, if any, of the amount
	529	+	17.9of the loss over the greater of the taxable net income or alternative minimum taxable income
	530	+	17.10for each of the taxable years to which the loss may be carried.
	531	+	17.11 (d) The amount of a net operating loss carried forward must be reduced by any amounts
	532	+	17.12used for the subtraction in section 290.0132, subdivision 33, in the next taxable year
	533	+	17.13following the subtraction in which a net operating loss deduction is claimed.
	534	+	17.14 EFFECTIVE DATE.This section is effective for taxable years beginning after December
	535	+	17.1531, 2025.
	536	+	17.16Sec. 20. Minnesota Statutes 2022, section 290A.03, subdivision 15, is amended to read:
	537	+	17.17 Subd. 15.Internal Revenue Code."Internal Revenue Code" means the Internal Revenue
	538	+	17.18Code of 1986, as amended through December 31, 2018 December 15, 2022.
	539	+	17.19 EFFECTIVE DATE.This section is effective retroactively beginning with refunds
	540	+	17.20based on rent paid in 2021 and property taxes payable in 2022.
	541	+	17.21Sec. 21. Minnesota Statutes 2022, section 291.005, subdivision 1, is amended to read:
	542	+	17.22 Subdivision 1.Scope.Unless the context otherwise clearly requires, the following terms
	543	+	17.23used in this chapter shall have the following meanings:
	544	+	17.24 (1) "Commissioner" means the commissioner of revenue or any person to whom the
	545	+	17.25commissioner has delegated functions under this chapter.
	546	+	17.26 (2) "Federal gross estate" means the gross estate of a decedent as required to be valued
	547	+	17.27and otherwise determined for federal estate tax purposes under the Internal Revenue Code,
	548	+	17.28increased by the value of any property in which the decedent had a qualifying income interest
	549	+	17.29for life and for which an election was made under section 291.03, subdivision 1d, for
	550	+	17.30Minnesota estate tax purposes, but was not made for federal estate tax purposes.
556	551		17Sec. 21.
557		-	REVISOR EAP H0031-2HF31 SECOND ENGROSSMENT 18.1 (4) "Minnesota gross estate" means the federal gross estate of a decedent after (a)
558		-	18.2excluding therefrom any property included in the estate which has its situs outside Minnesota,
559		-	18.3and (b) including any property omitted from the federal gross estate which is includable in
560		-	18.4the estate, has its situs in Minnesota, and was not disclosed to federal taxing authorities.
561		-	18.5 (5) "Nonresident decedent" means an individual whose domicile at the time of death
562		-	18.6was not in Minnesota.
563		-	18.7 (6) "Personal representative" means the executor, administrator or other person appointed
564		-	18.8by the court to administer and dispose of the property of the decedent. If there is no executor,
565		-	18.9administrator or other person appointed, qualified, and acting within this state, then any
566		-	18.10person in actual or constructive possession of any property having a situs in this state which
567		-	18.11is included in the federal gross estate of the decedent shall be deemed to be a personal
568		-	18.12representative to the extent of the property and the Minnesota estate tax due with respect
569		-	18.13to the property.
570		-	18.14 (7) "Resident decedent" means an individual whose domicile at the time of death was
571		-	18.15in Minnesota. The provisions of section 290.01, subdivision 7, paragraphs (c) and (d), apply
572		-	18.16to determinations of domicile under this chapter.
573		-	18.17 (8) "Situs of property" means, with respect to:
574		-	18.18 (i) real property, the state or country in which it is located;
575		-	18.19 (ii) tangible personal property, the state or country in which it was normally kept or
576		-	18.20located at the time of the decedent's death or for a gift of tangible personal property within
577		-	18.21three years of death, the state or country in which it was normally kept or located when the
578		-	18.22gift was executed;
579		-	18.23 (iii) a qualified work of art, as defined in section 2503(g)(2) of the Internal Revenue
580		-	18.24Code, owned by a nonresident decedent and that is normally kept or located in this state
581		-	18.25because it is on loan to an organization, qualifying as exempt from taxation under section
582		-	18.26501(c)(3) of the Internal Revenue Code, that is located in Minnesota, the situs of the art is
583		-	18.27deemed to be outside of Minnesota, notwithstanding the provisions of item (ii); and
584		-	18.28 (iv) intangible personal property, the state or country in which the decedent was domiciled
585		-	18.29at death or for a gift of intangible personal property within three years of death, the state or
586		-	18.30country in which the decedent was domiciled when the gift was executed.
587		-	18.31 For a nonresident decedent with an ownership interest in a pass-through entity with
588		-	18.32assets that include real or tangible personal property, situs of the real or tangible personal
589		-	18.33property, including qualified works of art, is determined as if the pass-through entity does
	552	+	REVISOR EAP H0031-1HF31 FIRST ENGROSSMENT 18.1 (3) "Internal Revenue Code" means the United States Internal Revenue Code of 1986,
	553	+	18.2as amended through December 31, 2018 December 15, 2022.
	554	+	18.3 (4) "Minnesota gross estate" means the federal gross estate of a decedent after (a)
	555	+	18.4excluding therefrom any property included in the estate which has its situs outside Minnesota,
	556	+	18.5and (b) including any property omitted from the federal gross estate which is includable in
	557	+	18.6the estate, has its situs in Minnesota, and was not disclosed to federal taxing authorities.
	558	+	18.7 (5) "Nonresident decedent" means an individual whose domicile at the time of death
	559	+	18.8was not in Minnesota.
	560	+	18.9 (6) "Personal representative" means the executor, administrator or other person appointed
	561	+	18.10by the court to administer and dispose of the property of the decedent. If there is no executor,
	562	+	18.11administrator or other person appointed, qualified, and acting within this state, then any
	563	+	18.12person in actual or constructive possession of any property having a situs in this state which
	564	+	18.13is included in the federal gross estate of the decedent shall be deemed to be a personal
	565	+	18.14representative to the extent of the property and the Minnesota estate tax due with respect
	566	+	18.15to the property.
	567	+	18.16 (7) "Resident decedent" means an individual whose domicile at the time of death was
	568	+	18.17in Minnesota. The provisions of section 290.01, subdivision 7, paragraphs (c) and (d), apply
	569	+	18.18to determinations of domicile under this chapter.
	570	+	18.19 (8) "Situs of property" means, with respect to:
	571	+	18.20 (i) real property, the state or country in which it is located;
	572	+	18.21 (ii) tangible personal property, the state or country in which it was normally kept or
	573	+	18.22located at the time of the decedent's death or for a gift of tangible personal property within
	574	+	18.23three years of death, the state or country in which it was normally kept or located when the
	575	+	18.24gift was executed;
	576	+	18.25 (iii) a qualified work of art, as defined in section 2503(g)(2) of the Internal Revenue
	577	+	18.26Code, owned by a nonresident decedent and that is normally kept or located in this state
	578	+	18.27because it is on loan to an organization, qualifying as exempt from taxation under section
	579	+	18.28501(c)(3) of the Internal Revenue Code, that is located in Minnesota, the situs of the art is
	580	+	18.29deemed to be outside of Minnesota, notwithstanding the provisions of item (ii); and
	581	+	18.30 (iv) intangible personal property, the state or country in which the decedent was domiciled
	582	+	18.31at death or for a gift of intangible personal property within three years of death, the state or
	583	+	18.32country in which the decedent was domiciled when the gift was executed.
590	584		18Sec. 21.
591		-	REVISOR EAP H0031-2HF31 SECOND ENGROSSMENT 19.1not exist and the real or tangible personal property is personally owned by the decedent. If
592		-	19.2the pass-through entity is owned by a person or persons in addition to the decedent, ownership
593		-	19.3of the property is attributed to the decedent in proportion to the decedent's capital ownership
594		-	19.4share of the pass-through entity.
595		-	19.5 (9) "Pass-through entity" includes the following:
596		-	19.6 (i) an entity electing S corporation status under section 1362 of the Internal Revenue
597		-	19.7Code;
598		-	19.8 (ii) an entity taxed as a partnership under subchapter K of the Internal Revenue Code;
599		-	19.9 (iii) a single-member limited liability company or similar entity, regardless of whether
600		-	19.10it is taxed as an association or is disregarded for federal income tax purposes under Code
601		-	19.11of Federal Regulations, title 26, section 301.7701-3; or
602		-	19.12 (iv) a trust to the extent the property is includable in the decedent's federal gross estate;
603		-	19.13but excludes
604		-	19.14 (v) an entity whose ownership interest securities are traded on an exchange regulated
605		-	19.15by the Securities and Exchange Commission as a national securities exchange under section
606		-	19.166 of the Securities Exchange Act, United States Code, title 15, section 78f.
607		-	19.17 EFFECTIVE DATE.This section is effective the day following final enactment, except
608		-	19.18the changes incorporated by federal changes are effective retroactively at the same time the
609		-	19.19changes were effective for federal purposes.
610		-	19.20Sec. 22. TEMPORARY ADDITIONS AND SUBTRACTIONS; INDIVIDUALS,
611		-	19.21ESTATES, AND TRUSTS.
612		-	19.22 (a) For the purposes of this section:
613		-	19.23 (1) "subtraction" has the meaning given in Minnesota Statutes, section 290.0132,
614		-	19.24subdivision 1, and the rules in that subdivision apply to this section;
615		-	19.25 (2) "addition" has the meaning given in Minnesota Statutes, section 290.0131, subdivision
616		-	19.261, and the rules in that subdivision apply to this section; and
617		-	19.27 (3) the definitions in Minnesota Statutes, section 290.01, apply to this section.
618		-	19.28 (b) The following amounts are subtractions:
619		-	19.29 (1) the amount of wages used for the calculation of the employee retention credit for
620		-	19.30employers affected by qualified disasters, to the extent not deducted from income, under
	585	+	REVISOR EAP H0031-1HF31 FIRST ENGROSSMENT 19.1 For a nonresident decedent with an ownership interest in a pass-through entity with
	586	+	19.2assets that include real or tangible personal property, situs of the real or tangible personal
	587	+	19.3property, including qualified works of art, is determined as if the pass-through entity does
	588	+	19.4not exist and the real or tangible personal property is personally owned by the decedent. If
	589	+	19.5the pass-through entity is owned by a person or persons in addition to the decedent, ownership
	590	+	19.6of the property is attributed to the decedent in proportion to the decedent's capital ownership
	591	+	19.7share of the pass-through entity.
	592	+	19.8 (9) "Pass-through entity" includes the following:
	593	+	19.9 (i) an entity electing S corporation status under section 1362 of the Internal Revenue
	594	+	19.10Code;
	595	+	19.11 (ii) an entity taxed as a partnership under subchapter K of the Internal Revenue Code;
	596	+	19.12 (iii) a single-member limited liability company or similar entity, regardless of whether
	597	+	19.13it is taxed as an association or is disregarded for federal income tax purposes under Code
	598	+	19.14of Federal Regulations, title 26, section 301.7701-3; or
	599	+	19.15 (iv) a trust to the extent the property is includable in the decedent's federal gross estate;
	600	+	19.16but excludes
	601	+	19.17 (v) an entity whose ownership interest securities are traded on an exchange regulated
	602	+	19.18by the Securities and Exchange Commission as a national securities exchange under section
	603	+	19.196 of the Securities Exchange Act, United States Code, title 15, section 78f.
	604	+	19.20 EFFECTIVE DATE.This section is effective the day following final enactment, except
	605	+	19.21the changes incorporated by federal changes are effective retroactively at the same time the
	606	+	19.22changes were effective for federal purposes.
	607	+	19.23Sec. 22. TEMPORARY ADDITIONS AND SUBTRACTIONS; INDIVIDUALS,
	608	+	19.24ESTATES, AND TRUSTS.
	609	+	19.25 (a) For the purposes of this section:
	610	+	19.26 (1) "subtraction" has the meaning given in Minnesota Statutes, section 290.0132,
	611	+	19.27subdivision 1, and the rules in that subdivision apply to this section;
	612	+	19.28 (2) "addition" has the meaning given in Minnesota Statutes, section 290.0131, subdivision
	613	+	19.291, and the rules in that subdivision apply to this section; and
	614	+	19.30 (3) the definitions in Minnesota Statutes, section 290.01, apply to this section.
	615	+	19.31 (b) The following amounts are subtractions:
621	616		19Sec. 22.
622		-	REVISOR EAP H0031-2HF31 SECOND ENGROSSMENT 20.1Public Law 116-94, division Q, section 203, or Public Law 116-260, division EE, section
623		-	20.2303;
624		-	20.3 (2) the amount of wages used for the calculation of the payroll credit for required paid
625		-	20.4sick leave, to the extent not deducted from income, under Public Law 116-127, section
626		-	20.57001, as amended by section 9641 of Public Law 117-2;
627		-	20.6 (3) the amount of wages or expenses used for the calculation of the payroll credit for
628		-	20.7required paid family leave, to the extent not deducted from income, under Public Law
629		-	20.8116-127, section 7003, as amended by section 9641 of Public Law 117-2;
630		-	20.9 (4) the amount of wages used for the calculation of the employee retention credit for
631		-	20.10employers subject to closure due to COVID-19, to the extent not deducted from income,
632		-	20.11under Public Law 116-136, section 2301, as amended by Public Law 116-260, division EE,
633		-	20.12section 207, and Public Law 117-2, section 9651; and
634		-	20.13 (5) the amount required to be added to gross income to claim the credit in section 6432
635		-	20.14of the Internal Revenue Code.
636		-	20.15 (c) The following amounts are additions:
637		-	20.16 (1) the amount subtracted for qualified tuition expenses under section 222 of the Internal
638		-	20.17Revenue Code, as amended by Public Law 116-94, division Q, section 104;
639		-	20.18 (2) the amount of above the line charitable contributions deducted under section 2204
640		-	20.19of Public Law 116-136;
641		-	20.20 (3) the amount of meal expenses in excess of the 50 percent limitation under section
642		-	20.21274(n)(1) of the Internal Revenue Code allowed under subsection (n), paragraph (2),
643		-	20.22subparagraph (D), of that section; and
644		-	20.23 (4) the amount of charitable contributions deducted from federal taxable income by a
645		-	20.24trust for taxable year 2020 under Public Law 116-136, section 2205(a).
646		-	20.25 (d) The commissioner of revenue must apply the subtractions in paragraph (b) and the
647		-	20.26additions in paragraph (c), when calculating the following:
648		-	20.27 (1) the percentage under Minnesota Statutes, section 290.06, subdivision 2c, paragraph
649		-	20.28(e);
650		-	20.29 (2) a taxpayer's alternative minimum taxable income under Minnesota Statutes, section
651		-	20.30290.091; and
	617	+	REVISOR EAP H0031-1HF31 FIRST ENGROSSMENT 20.1 (1) the amount of wages used for the calculation of the employee retention credit for
	618	+	20.2employers affected by qualified disasters, to the extent not deducted from income, under
	619	+	20.3Public Law 116-94, division Q, section 203, or Public Law 116-260, division EE, section
	620	+	20.4303;
	621	+	20.5 (2) the amount of wages used for the calculation of the payroll credit for required paid
	622	+	20.6sick leave, to the extent not deducted from income, under Public Law 116-127, section
	623	+	20.77001, as amended by section 9641 of Public Law 117-2;
	624	+	20.8 (3) the amount of wages or expenses used for the calculation of the payroll credit for
	625	+	20.9required paid family leave, to the extent not deducted from income, under Public Law
	626	+	20.10116-127, section 7003, as amended by section 9641 of Public Law 117-2;
	627	+	20.11 (4) the amount of wages used for the calculation of the employee retention credit for
	628	+	20.12employers subject to closure due to COVID-19, to the extent not deducted from income,
	629	+	20.13under Public Law 116-136, section 2301, as amended by Public Law 116-260, division EE,
	630	+	20.14section 207, and Public Law 117-2, section 9651; and
	631	+	20.15 (5) the amount required to be added to gross income to claim the credit in section 6432
	632	+	20.16of the Internal Revenue Code.
	633	+	20.17 (c) The following amounts are additions:
	634	+	20.18 (1) the amount subtracted for qualified tuition expenses under section 222 of the Internal
	635	+	20.19Revenue Code, as amended by Public Law 116-94, division Q, section 104;
	636	+	20.20 (2) the amount of above the line charitable contributions deducted under section 2204
	637	+	20.21of Public Law 116-136;
	638	+	20.22 (3) the amount of meal expenses in excess of the 50 percent limitation under section
	639	+	20.23274(n)(1) of the Internal Revenue Code allowed under subsection (n), paragraph (2),
	640	+	20.24subparagraph (D), of that section; and
	641	+	20.25 (4) the amount of charitable contributions deducted from federal taxable income by a
	642	+	20.26trust for taxable year 2020 under Public Law 116-136, section 2205(a).
	643	+	20.27 (d) For the purpose of calculating property tax refunds under Minnesota Statutes, chapter
	644	+	20.28290A, any amounts allowed as a subtraction in paragraph (b) are excluded from "income,"
	645	+	20.29as defined in Minnesota Statutes, section 290A.03, subdivision 3.
	646	+	20.30 EFFECTIVE DATE.(a) Paragraphs (a) to (c) are effective retroactively at the same
	647	+	20.31time the changes were effective for federal purposes.
652	648		20Sec. 22.
653		-	REVISOR EAP H0031-2HF31 ~~SECOND~~ ENGROSSMENT 21.1 (3) ~~"income" as defined~~ in ~~Minnesota Statutes, section 289A.08, subdivision 7, paragraph~~
654		-	21.~~2(j), for the purposes of determining the tax for composite filers~~ and ~~the pass-through~~ ~~entity~~
655		-	21.~~3tax~~.
656		-	21.4 (e) For the ~~purpose~~ of ~~calculating property tax refunds under Minnesota Statutes, chapter~~
657		-	21.~~5290A, any amounts allowed as a subtraction~~ in ~~paragraph (b) are excluded from "income~~,"
658		-	21.~~6as defined~~ in ~~Minnesota Statutes, section 290A.03,~~ subdivision 3.
659		-	21.7 ~~EFFECTIVE DATE.~~(a) ~~Paragraphs (a) to (d) are effective retroactively at~~ the ~~same~~
660		-	21.~~8time~~ the ~~changes were effective for federal purposes.~~
661		-	21.9 (b) ~~Paragraph (e) is effective retroactively beginning with refunds based on rent paid~~ in
662		-	21.~~102021 and property taxes payable in 2022.~~
663		-	21.~~11Sec. 23.~~ ~~TEMPORARY ADDITIONS AND SUBTRACTIONS;~~ ~~CORPORATIONS.~~
664		-	21.~~12 (a) For~~ the ~~purposes of this section:~~
665		-	21.~~13 (1) "subtraction" has the meaning given in Minnesota Statutes~~, section ~~290.0134~~,
666		-	21.~~14subdivision 1, and the rules in that subdivision apply to this section~~;
667		-	21.15 (2) ~~"addition" has~~ the ~~meaning given in Minnesota Statutes,~~ ~~section 290.0133, subdivision~~
668		-	21.~~161~~, ~~and~~ the ~~rules in that subdivision apply to this~~ section~~; and~~
669		-	21.~~17 (3) the definitions in Minnesota Statutes,~~ section ~~290.01, apply to this section.~~
670		-	21.18 (b) The ~~following amounts are subtractions:~~
671		-	21.~~19 (1)~~ the ~~amount of wages used for the calculation of the employee retention credit for~~
672		-	21.~~20employers affected~~ by ~~qualified disasters,~~ ~~to the extent not deducted from income, under~~
673		-	21.~~21Public Law 116-94, division Q,~~ ~~section 203,~~ ~~or Public Law 116-260, division EE,~~ ~~section~~
674		-	21.~~22303;~~
675		-	21.~~23 (2) the amount of wages used for the calculation of the payroll credit for required paid~~
676		-	21.~~24sick leave~~, ~~to the extent not deducted from income, under~~ Public Law ~~116-127~~, section
677		-	21.~~257001, as amended by~~ section ~~9641 of Public Law 117-2;~~
678		-	21.~~26 (3)~~ the ~~amount of wages or expenses used for the calculation of the payroll credit for~~
679		-	21.~~27required paid family leave, to~~ the ~~extent not deducted from income, under Public Law~~
680		-	21.~~28116-127, section 7003,~~ ~~as amended by section 9641~~ of ~~Public Law 117-2;~~
681		-	21.29 (4) ~~the amount of wages used for the calculation~~ of the ~~employee retention credit for~~
682		-	21.~~30employers subject to closure due to COVID-19~~, ~~to the extent not deducted from income,~~
	649	+	REVISOR EAP H0031-1HF31 FIRST ENGROSSMENT 21.1 (b) Paragraph (d) is effective retroactively beginning with refunds based on rent paid in
	650	+	21.22021 and property taxes payable in 2022.
	651	+	21.3 Sec. 23. TEMPORARY ADDITIONS AND SUBTRACTIONS; CORPORATIONS.
	652	+	21.4 (a) For the purposes of this section:
	653	+	21.5 (1) "subtraction" has the meaning given in Minnesota Statutes, section 290.0134,
	654	+	21.6subdivision 1, and the rules in that subdivision apply to this section;
	655	+	21.7 (2) "addition" has the meaning given in Minnesota Statutes, section 290.0133, subdivision
	656	+	21.81, and the rules in that subdivision apply to this section; and
	657	+	21.9 (3) the definitions in Minnesota Statutes, section 290.01, apply to this section.
	658	+	21.10 (b) The following amounts are subtractions:
	659	+	21.11 (1) the amount of wages used for the calculation of the employee retention credit for
	660	+	21.12employers affected by qualified disasters, to the extent not deducted from income, under
	661	+	21.13Public Law 116-94, division Q, section 203, or Public Law 116-260, division EE, section
	662	+	21.14303;
	663	+	21.15 (2) the amount of wages used for the calculation of the payroll credit for required paid
	664	+	21.16sick leave, to the extent not deducted from income, under Public Law 116-127, section
	665	+	21.177001, as amended by section 9641 of Public Law 117-2;
	666	+	21.18 (3) the amount of wages or expenses used for the calculation of the payroll credit for
	667	+	21.19required paid family leave, to the extent not deducted from income, under Public Law
	668	+	21.20116-127, section 7003, as amended by section 9641 of Public Law 117-2;
	669	+	21.21 (4) the amount of wages used for the calculation of the employee retention credit for
	670	+	21.22employers subject to closure due to COVID-19, to the extent not deducted from income,
	671	+	21.23under Public Law 116-136, section 2301, as amended by Public Law 116-260, division EE,
	672	+	21.24section 207, and Public Law 117-2, section 9651; and
	673	+	21.25 (5) the amount required to be added to gross income to claim the credit in section 6432
	674	+	21.26of the Internal Revenue Code.
	675	+	21.27 (c) The following amounts are additions:
	676	+	21.28 (1) the amount of meal expenses in excess of the 50 percent limitation under section
	677	+	21.29274(n)(1) of the Internal Revenue Code allowed under subsection (n), paragraph (2),
	678	+	21.30subparagraph (D), of that section; and
683	679		21Sec. 23.
684		-	REVISOR EAP H0031-2HF31 SECOND ENGROSSMENT 22.1under Public Law 116-136, section 2301, as amended by Public Law 116-260, division EE,
685		-	22.2section 207, and Public Law 117-2, section 9651; and
686		-	22.3 (5) the amount required to be added to gross income to claim the credit in section 6432
687		-	22.4of the Internal Revenue Code.
688		-	22.5 (c) The following amounts are additions:
689		-	22.6 (1) the amount of meal expenses in excess of the 50 percent limitation under section
690		-	22.7274(n)(1) of the Internal Revenue Code allowed under subsection (n), paragraph (2),
691		-	22.8subparagraph (D), of that section; and
692		-	22.9 (2) the amount of charitable contributions deducted for taxable year 2020 pursuant to
693		-	22.10the provisions of Public Law 116-136, section 2205(a).
694		-	22.11 EFFECTIVE DATE.This section is effective retroactively at the same time the changes
695		-	22.12were effective for federal purposes.
696		-	22.13Sec. 24. CHARITABLE CONTRIBUTION DEDUCTION; SPECIAL RULE FOR
697		-	22.142020.
698		-	22.15 For charitable contribution deductions under Minnesota Statutes, section 290.0122, for
699		-	22.16taxable year 2020, the provisions of Public Law 116-136, section 2205(a), do not apply.
700		-	22.17 EFFECTIVE DATE.This section is effective retroactively at the same time the changes
701		-	22.18were effective for federal purposes.
702		-	22.19Sec. 25. DEPENDENT CARE CREDIT; SPECIAL RULE FOR 2021.
703		-	22.20 For the purpose of calculating the dependent care credit under Minnesota Statutes, section
704		-	22.21290.067, for taxable year 2021, the provisions of Public Law 117-2, sections 9631 and 9632,
705		-	22.22do not apply.
706		-	22.23 EFFECTIVE DATE.This section is effective retroactively at the same time the changes
707		-	22.24were effective for federal purposes.
708		-	22.25Sec. 26. CASUALTY LOSS DEDUCTION; SPECIAL RULE FOR 2021.
709		-	22.26 For the purpose of calculating the standard deduction under Minnesota Statutes, section
710		-	22.27290.0123, and the casualty loss deduction under Minnesota Statutes, section 290.0122,
711		-	22.28subdivision 8, the following provisions do not apply:
712		-	22.29 (1) section 204(b) of the Taxpayer Certainty and Disaster Tax Relief Act of 2019, Public
713		-	22.30Law 116-94; and
	680	+	REVISOR EAP H0031-1HF31 FIRST ENGROSSMENT 22.1 (2) the amount of charitable contributions deducted for taxable year 2020 pursuant to
	681	+	22.2the provisions of Public Law 116-136, section 2205(a).
	682	+	22.3 EFFECTIVE DATE.This section is effective retroactively at the same time the changes
	683	+	22.4were effective for federal purposes.
	684	+	22.5 Sec. 24. CHARITABLE CONTRIBUTION DEDUCTION; SPECIAL RULE FOR
	685	+	22.62020.
	686	+	22.7 For charitable contribution deductions under Minnesota Statutes, section 290.0122, for
	687	+	22.8taxable year 2020, the provisions of Public Law 116-136, section 2205(a), do not apply.
	688	+	22.9 EFFECTIVE DATE.This section is effective retroactively at the same time the changes
	689	+	22.10were effective for federal purposes.
	690	+	22.11Sec. 25. DEPENDENT CARE CREDIT; SPECIAL RULE FOR 2021.
	691	+	22.12 For the purpose of calculating the dependent care credit under Minnesota Statutes, section
	692	+	22.13290.067, for taxable year 2021, the provisions of Public Law 117-2, sections 9631 and 9632,
	693	+	22.14do not apply.
	694	+	22.15 EFFECTIVE DATE.This section is effective retroactively at the same time the changes
	695	+	22.16were effective for federal purposes.
	696	+	22.17Sec. 26. CASUALTY LOSS DEDUCTION; SPECIAL RULE FOR 2021.
	697	+	22.18 For the purpose of calculating the standard deduction under Minnesota Statutes, section
	698	+	22.19290.0123, and the casualty loss deduction under Minnesota Statutes, section 290.0122,
	699	+	22.20subdivision 8, the following provisions do not apply:
	700	+	22.21 (1) section 204(b) of the Taxpayer Certainty and Disaster Tax Relief Act of 2019, Public
	701	+	22.22Law 116-94; and
	702	+	22.23 (2) section 304(b) of the Taxpayer Certainty and Disaster Tax Relief Act of 2020, Public
	703	+	22.24Law 116-260.
	704	+	22.25 EFFECTIVE DATE.This section is effective retroactively at the same time the changes
	705	+	22.26were effective for federal purposes.
714	706		22Sec. 26.
715		-	REVISOR EAP H0031-2HF31 SECOND ENGROSSMENT 23.1 (2) section 304(b) of the Taxpayer Certainty and Disaster Tax Relief Act of 2020, Public
716		-	23.2Law 116-260.
717		-	23.3 EFFECTIVE DATE.This section is effective retroactively at the same time the changes
718		-	23.4were effective for federal purposes.
719		-	23.5 Sec. 27. WORKING FAMILY CREDIT; SPECIAL RULE FOR TAX YEAR 2021.
720		-	23.6 For the purpose of calculating the working family credit under Minnesota Statutes,
721		-	23.7section 290.0671, for taxable year 2021, the provisions of section 32(n) of the Internal
722		-	23.8Revenue Code do not apply.
723		-	23.9 EFFECTIVE DATE.This section is effective retroactively at the same time the changes
724		-	23.10were effective for federal purposes.
725		-	23.11Sec. 28. EXTENSION OF STATUTE OF LIMITATIONS.
726		-	23.12 (a) Notwithstanding any law to the contrary, a taxpayer whose tax liability changes as
727		-	23.13a result of this act may file an amended return by December 31, 2023. The commissioner
728		-	23.14may review and assess the return of a taxpayer covered by this provision for the later of:
729		-	23.15 (1) the periods under Minnesota Statutes, sections 289A.38; 289.39, subdivision 3; and
730		-	23.16289A.40; or
731		-	23.17 (2) one year from the time the amended return is filed as a result of a change in tax
732		-	23.18liability under this section.
733		-	23.19 (b) Interest on any additional liabilities as a result of any provision in this act accrue
734		-	23.20beginning on January 1, 2024.
735		-	23.21 EFFECTIVE DATE.This section is effective retroactively at the same time the changes
736		-	23.22incorporated in this act were effective for federal purposes.
737		-	23.23Sec. 29. PROPERTY TAX REFUNDS; CORONAVIRUS-RELATED RETIREMENT
738		-	23.24DISTRIBUTIONS.
739		-	23.25 For the purpose of calculating property tax refunds under Minnesota Statutes, chapter
740		-	23.26290A, "income" does not include coronavirus-related distributions included in gross income
741		-	23.27under section 2202(a)(5) of Public Law 116-136.
742		-	23.28 EFFECTIVE DATE.This section is effective retroactively beginning with refunds
743		-	23.29based on rent paid in 2021 and property taxes payable in 2022.
744		-	23Sec. 29.
745		-	REVISOR EAP H0031-2HF31 SECOND ENGROSSMENT 24.1 Sec. 30. REPEALER.
746		-	24.2 Minnesota Statutes 2022, section 290.0111, is repealed.
747		-	24.3 EFFECTIVE DATE.This section is effective the day following final enactment.
748		-	24Sec. 30.
749		-	REVISOR EAP H0031-2HF31 SECOND ENGROSSMENT 290.0111 TEMPORARY CONFORMITY TO CERTAIN FEDERAL TAX CHANGES.
	707	+	REVISOR EAP H0031-1HF31 FIRST ENGROSSMENT 23.1 Sec. 27. WORKING FAMILY CREDIT; SPECIAL RULE FOR TAX YEAR 2021.
	708	+	23.2 For the purpose of calculating the working family credit under Minnesota Statutes,
	709	+	23.3section 290.0671, for taxable year 2021, the provisions of section 32(n) of the Internal
	710	+	23.4Revenue Code do not apply.
	711	+	23.5 EFFECTIVE DATE.This section is effective retroactively at the same time the changes
	712	+	23.6were effective for federal purposes.
	713	+	23.7 Sec. 28. EXTENSION OF STATUTE OF LIMITATIONS.
	714	+	23.8 (a) Notwithstanding any law to the contrary, a taxpayer whose tax liability changes as
	715	+	23.9a result of this act may file an amended return for up to six months after the final enactment
	716	+	23.10date of this act. The commissioner may review and assess the return of a taxpayer covered
	717	+	23.11by this provision for the later of:
	718	+	23.12 (1) the periods under Minnesota Statutes, sections 289A.38; 289.39, subdivision 3; and
	719	+	23.13289A.40; or
	720	+	23.14 (2) one year from the time the amended return is filed as a result of a change in tax
	721	+	23.15liability under this section.
	722	+	23.16 (b) Interest on any additional liabilities as a result of any provision in this act shall run
	723	+	23.17beginning six months after the final enactment date.
	724	+	23.18 EFFECTIVE DATE.This section is effective retroactively at the same time the changes
	725	+	23.19incorporated in this act were effective for federal purposes.
	726	+	23.20Sec. 29. PROPERTY TAX REFUNDS; CORONAVIRUS-RELATED RETIREMENT
	727	+	23.21DISTRIBUTIONS.
	728	+	23.22 For the purpose of calculating property tax refunds under Minnesota Statutes, chapter
	729	+	23.23290A, "income" does not include coronavirus-related distributions included in gross income
	730	+	23.24under section 2202(a)(5) of Public Law 116-136.
	731	+	23.25 EFFECTIVE DATE.This section is effective retroactively beginning with refunds
	732	+	23.26based on rent paid in 2021 and property taxes payable in 2022.
	733	+	23.27Sec. 30. REPEALER.
	734	+	23.28 Minnesota Statutes 2022, section 290.0111, is repealed.
	735	+	23.29 EFFECTIVE DATE.This section is effective the day following final enactment.
	736	+	23Sec. 30.
	737	+	REVISOR EAP H0031-1HF31 FIRST ENGROSSMENT 290.0111 TEMPORARY CONFORMITY TO CERTAIN FEDERAL TAX CHANGES.
750	738		Subdivision 1.Adopting Internal Revenue Code changes.For the purposes of this chapter,
751	739		"Internal Revenue Code," as defined in section 290.01, subdivisions 19 and 31, includes the sections
752	740		of federal law specified in this section as enacted or amended through March 31, 2021.
753	741		Subd. 2.Further Consolidated Appropriations Act, 2020.(a) "Internal Revenue Code"
754	742		includes the following provisions of the Taxpayer Certainty and Disaster Tax Relief Act of 2019
755	743		in Public Law 116-94:
756	744		(1) section 101;
757	745		(2) section 116;
758	746		(3) section 117;
759	747		(4) section 130;
760	748		(5) section 131;
761	749		(6) section 132;
762	750		(7) section 144;
763	751		(8) section 201;
764	752		(9) section 202; and
765	753		(10) section 204.
766	754		(b) "Internal Revenue Code" includes section 301 of the Setting Every Community Up for
767	755		Retirement Enhancement Act of 2019 in Public Law 116-94.
768	756		Subd. 3.CARES Act."Internal Revenue Code" includes the following sections of Public Law
769	757		116-136:
770	758		(1) section 1106(i); and
771	759		(2) section 2202.
772	760		Subd. 4.Consolidated Appropriations Act, 2021.(a) "Internal Revenue Code" includes the
773	761		following provisions of the COVID-related Tax Relief Act of 2020 in Public Law 116-260:
774	762		(1) section 275;
775	763		(2) section 276; and
776	764		(3) section 277.
777	765		(b) For taxable years beginning after December 31, 2019, and before January 1, 2021, "Internal
778	766		Revenue Code" includes sections 278(b) and 278(c) of the COVID-related Tax Relief Act of 2020
779	767		in Public Law 116-260.
780	768		Subd. 5.American Rescue Plan Act."Internal Revenue Code" includes section 9042 of Public
781	769		Law 117-2.
782	770		1R
783	771		APPENDIX
784		-	Repealed Minnesota Statutes: H0031-2
	772	+	Repealed Minnesota Statutes: H0031-1