1.1 A bill for an act
1.2 relating to taxation; proposing an amendment to the Minnesota Constitution by
1.3 adding a section to article X; requiring that a portion of a projected budget surplus
1.4 be returned to state taxpayers.
1.5BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:
1.6 Section 1. CONSTITUTIONAL AMENDMENT PROPOSED.
1.7 An amendment to the Minnesota Constitution is proposed to the people. If the amendment
1.8is adopted, a section shall be added to article X, to read:
1.9 Sec. 9.The Minnesota tax relief fund is established in the state treasury. The purpose
1.10of the fund is to set aside surplus tax revenue that must be returned to the taxpayers of this
1.11state each biennium, as required by this section.
1.12 If, on the basis of a November forecast of general fund revenues and expenditures, which
1.13shall be provided by law, there will be a positive unrestricted general fund balance at the
1.14close of the biennium, the commissioner shall transfer from the general fund to the tax relief
1.15fund the amount of the tax relief fund surplus, which shall be the amount, if any, by which
1.16projected revenues exceed projected expenditures by 105 percent. Projected expenditures
1.17shall not include any amount required by law to be set aside in a budget reserve account,
1.18but nothing in this section shall be construed to prohibit the legislature from allocating
1.19projected revenues that do not exceed 105 percent of projected expenditures to a budget
1.20reserve.
1.21 Money in the tax relief fund may only be used to return the tax relief fund surplus to the
1.22property and income taxpayers of this state through onetime refunds, which shall not be
1.23taxable under the laws of this state, or to offset the cost to the state general fund for onetime
1Section 1.
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HOUSE OF REPRESENTATIVES
H. F. No. 4
NINETY-FOURTH SESSION
Authored by Johnson, W.; Niska; Schultz; Duran; Perryman and others02/06/2025
The bill was read for the first time and referred to the Committee on Taxes
Adoption of Report: Amended and re-referred to the Committee on Rules and Legislative Administration02/27/2025
Adoption of Report: Re-referred to the Committee on Ways and Means03/06/2025
Adoption of Report: Placed on the General Register as Amended03/10/2025
Read for the Second Time
Calendar for the Day, Amended03/17/2025
Read Third Time as Amended
Bill was not passed 2.1tax reductions. No refunds or offsets for tax reductions shall be made for any amount that
2.2exceeds a property or income taxpayer's liability for tax, or to offset a tax reduction or
2.3provide a refund to a taxpayer whose income exceeded $1,000,000 in the year for which
2.4the refund was provided.
2.5 Sec. 2. SUBMISSION TO VOTERS.
2.6 The proposed amendment must be submitted to the people at the 2026 general election.
2.7The question submitted must be:
2.8 "Shall the Minnesota Constitution be amended to create a Minnesota tax relief fund that
2.9must be used to return projected surplus tax revenue to the income and property taxpayers
2.10of this state for taxpayers with incomes less than $1,000,000?
2.11 Yes ...................
"2.12 No ....................
2Sec. 2.
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