Bill > SF2103

This bill removes the refundability of the Minnesota Child Tax Credit and Working Family Credit, effectively changing how these tax credits are applied for low-income families. Specifically, the bill eliminates the provisions that previously allowed taxpayers to receive advance payments of the child tax credit and repeals the sections of law that made these credits refundable, meaning taxpayers can no longer receive the credits as cash payments if they exceed their tax liability. The bill amends sections of Minnesota tax law to remove language related to advance payments and refundability, and adds effective date language that will implement these changes for taxable years beginning after December 31, 2024. For taxpayers who previously qualified for these refundable credits, this means they will now only be able to use the credits to reduce their tax owed, rather than receiving additional money back if the credit amount is larger than their tax bill. The changes will impact low-income families who relied on these credits as a form of financial support, potentially reducing their overall tax benefits.

Budget and Finance

https://www.revisor.mn.gov/bills/bill.php?b=Senate&f=SF2103&ssn=0&y=2025