1.1 A bill for an act
1.2 relating to taxation; individual income; increasing the income threshold for the
1.3 child tax credit; amending Minnesota Statutes 2024, section 290.0661, subdivisions
1.4 4, 7.
1.5BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:
1.6 Section 1. Minnesota Statutes 2024, section 290.0661, subdivision 4, is amended to read:
1.7 Subd. 4.Phaseout.The credits under subdivision 2 and section 290.0671 are phased
1.8down jointly. The combined amount of the credits is reduced by 12 percent of earned income
1.9or adjusted gross income, whichever is greater, in excess of the phaseout threshold. The
1.10phaseout threshold equals:
1.11 (1) $35,000 $45,490 for a married taxpayer filing a joint return; or
1.12 (2) $29,500 $38,340 for all other filers.
1.13 EFFECTIVE DATE.This section is effective for taxable years beginning after December
1.1431, 2024.
1.15 Sec. 2. Minnesota Statutes 2024, section 290.0661, subdivision 7, is amended to read:
1.16 Subd. 7.Inflation adjustment.(a) For taxable years beginning after December 31,
1.172025, the commissioner of revenue must annually adjust for inflation the credit amount in
1.18subdivision 3 as provided in section 270C.22. The adjusted amounts must be rounded to
1.19the nearest $60. The statutory year is taxable year 2025.
1Sec. 2.
REVISOR EAP/DG 25-0430702/25/25
State of Minnesota
This Document can be made available
in alternative formats upon request
HOUSE OF REPRESENTATIVES
H. F. No. 2339
NINETY-FOURTH SESSION
Authored by West, Norris, Wiener, Kotyza-Witthuhn, Swedzinski and others03/13/2025
The bill was read for the first time and referred to the Committee on Taxes 2.1 (b) For taxable years beginning after December 31, 2023 2025, the commissioner of
2.2revenue must annually adjust for inflation the phaseout thresholds in subdivision 4, as
2.3provided in section 270C.22. The statutory year is taxable year 2023 2025.
2.4 EFFECTIVE DATE.This section is effective for taxable years beginning after December
2.531, 2025.
2Sec. 2.
REVISOR EAP/DG 25-0430702/25/25