Bill > SF104

This bill modifies Minnesota's tax code to create an unlimited subtraction for Social Security benefits, effectively eliminating the current complex rules that previously limited the subtraction based on a taxpayer's income level. Under the existing law, Social Security benefit subtractions were subject to intricate phaseout thresholds, reductions, and maximum subtraction amounts that varied depending on filing status and income. The new bill simplifies this process by allowing taxpayers to subtract the full amount of their Social Security benefits from their taxable income, regardless of their adjusted gross income. This change will provide more tax relief for seniors and retirees by removing previous income-based restrictions on Social Security benefit subtractions. The bill is set to take effect for taxable years beginning after December 31, 2024, which means it will first apply to tax returns filed in 2025 for the 2024 tax year.

Budget and Finance

https://www.revisor.mn.gov/bills/bill.php?b=Senate&f=SF0104&ssn=0&y=2025