Bill > HF1455

This bill modifies the income and corporate franchise tax research credit in Minnesota. It increases the credit rate from 10% to 12% on the first $2 million of qualified research expenses, and maintains the 4% credit rate on expenses over $2 million. Additionally, it introduces an alternative simplified credit option, which allows taxpayers to calculate the base amount as 50% of the average qualified research expenses for the previous three years, rather than using the standard formula. These changes are effective for taxable years beginning after December 31, 2018.