Bill > SF1942

This bill updates Minnesota's estate tax laws to conform to the federal estate tax exclusion amount, specifically by removing the previous state-specific exclusion amount tiers and replacing them with a direct reference to the federal exclusion amount. Under the proposed changes, estate tax returns will now be required only when a federal estate tax return is filed, and the Minnesota taxable estate subtraction will be equal to the decedent's applicable federal exclusion amount as defined in the Internal Revenue Code. The bill eliminates the previous graduated exclusion amounts that ranged from $2,100,000 in 2017 to $3,000,000 in 2020 and thereafter. These changes will become effective for estates of decedents dying after December 31, 2024, which means the state will automatically adjust its estate tax exclusion to match the federal level. This alignment simplifies the state's estate tax calculation process and ensures that Minnesota's estate tax rules remain consistent with federal tax law.

Budget and Finance

https://www.revisor.mn.gov/bills/bill.php?b=Senate&f=SF1942&ssn=0&y=2025