1.1 A bill for an act
1.2 relating to taxation; individual income and corporate franchise; providing a
1.3 subtraction from income for certain commercial loans issued by financial
1.4 institutions; amending Minnesota Statutes 2024, sections 290.0132, by adding a
1.5 subdivision; 290.0134, by adding a subdivision.
1.6BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:
1.7 Section 1. Minnesota Statutes 2024, section 290.0132, is amended by adding a subdivision
1.8to read:
1.9 Subd. 36.Commercial loans for business or agricultural purposes.For a financial
1.10institution that is an S corporation, the amount of income from a commercial loan is a
1.11subtraction if:
1.12 (1) the value of the loan is $5,000,000 or less; and
1.13 (2) the loan was provided to a person residing or located in this state and used primarily
1.14for a business or agricultural purpose.
1.15 EFFECTIVE DATE.This section is effective for taxable years beginning after December
1.1631, 2024.
1.17 Sec. 2. Minnesota Statutes 2024, section 290.0134, is amended by adding a subdivision
1.18to read:
1.19 Subd. 21.Commercial loans for business or agricultural purposes.For a financial
1.20institution, the amount of income from a commercial loan is a subtraction if:
1.21 (1) the value of the loan is $5,000,000 or less; and
1Sec. 2.
REVISOR EAP/BM 25-0094712/16/24
State of Minnesota
This Document can be made available
in alternative formats upon request
HOUSE OF REPRESENTATIVES
H. F. No. 916
NINETY-FOURTH SESSION
Authored by Baker02/17/2025
The bill was read for the first time and referred to the Committee on Taxes 2.1 (2) the loan was provided to a person residing or located in this state and used primarily
2.2for a business or agricultural purpose.
2.3 EFFECTIVE DATE.This section is effective for taxable years beginning after December
2.431, 2024.
2Sec. 2.
REVISOR EAP/BM 25-0094712/16/24