| 1 | 1 | | 1.1 A bill for an act |
|---|
| 2 | 2 | | 1.2 relating to taxation; individual income; increasing the income threshold for the |
|---|
| 3 | 3 | | 1.3 child tax credit; amending Minnesota Statutes 2024, section 290.0661, subdivisions |
|---|
| 4 | 4 | | 1.4 4, 7. |
|---|
| 5 | 5 | | 1.5BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: |
|---|
| 6 | 6 | | 1.6 Section 1. Minnesota Statutes 2024, section 290.0661, subdivision 4, is amended to read: |
|---|
| 7 | 7 | | 1.7 Subd. 4.Phaseout.The credits under subdivision 2 and section 290.0671 are phased |
|---|
| 8 | 8 | | 1.8down jointly. The combined amount of the credits is reduced by 12 percent of earned income |
|---|
| 9 | 9 | | 1.9or adjusted gross income, whichever is greater, in excess of the phaseout threshold. The |
|---|
| 10 | 10 | | 1.10phaseout threshold equals: |
|---|
| 11 | 11 | | 1.11 (1) $35,000 $45,490 for a married taxpayer filing a joint return; or |
|---|
| 12 | 12 | | 1.12 (2) $29,500 $38,340 for all other filers. |
|---|
| 13 | 13 | | 1.13 EFFECTIVE DATE.This section is effective for taxable years beginning after December |
|---|
| 14 | 14 | | 1.1431, 2024. |
|---|
| 15 | 15 | | 1.15 Sec. 2. Minnesota Statutes 2024, section 290.0661, subdivision 7, is amended to read: |
|---|
| 16 | 16 | | 1.16 Subd. 7.Inflation adjustment.(a) For taxable years beginning after December 31, |
|---|
| 17 | 17 | | 1.172025, the commissioner of revenue must annually adjust for inflation the credit amount in |
|---|
| 18 | 18 | | 1.18subdivision 3 as provided in section 270C.22. The adjusted amounts must be rounded to |
|---|
| 19 | 19 | | 1.19the nearest $60. The statutory year is taxable year 2025. |
|---|
| 20 | 20 | | 1Sec. 2. |
|---|
| 21 | 21 | | REVISOR EAP/DG 25-0430702/25/25 |
|---|
| 22 | 22 | | State of Minnesota |
|---|
| 23 | 23 | | This Document can be made available |
|---|
| 24 | 24 | | in alternative formats upon request |
|---|
| 25 | 25 | | HOUSE OF REPRESENTATIVES |
|---|
| 26 | 26 | | H. F. No. 2339 |
|---|
| 27 | 27 | | NINETY-FOURTH SESSION |
|---|
| 28 | 28 | | Authored by West, Norris, Wiener, Kotyza-Witthuhn, Swedzinski and others03/13/2025 |
|---|
| 29 | 29 | | 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 |
|---|
| 30 | 30 | | 2.2revenue must annually adjust for inflation the phaseout thresholds in subdivision 4, as |
|---|
| 31 | 31 | | 2.3provided in section 270C.22. The statutory year is taxable year 2023 2025. |
|---|
| 32 | 32 | | 2.4 EFFECTIVE DATE.This section is effective for taxable years beginning after December |
|---|
| 33 | 33 | | 2.531, 2025. |
|---|
| 34 | 34 | | 2Sec. 2. |
|---|
| 35 | 35 | | REVISOR EAP/DG 25-0430702/25/25 |
|---|