Bill > SF2290

This bill modifies Minnesota's individual income tax rates and brackets by increasing the income thresholds for each tax rate tier and adding a new top marginal tax rate of 12.45% for higher-income taxpayers. Specifically, for married couples filing jointly, the tax rates and brackets are adjusted: the first tier now covers income up to $47,620 (increased from $38,770) at 5.35%, the second tier covers income from $47,620 to $189,180 (increased from $154,020) at 6.8%, the third tier covers income from $189,180 to $330,410 (increased from $269,010) at 7.85%, the fourth tier covers income from $330,410 to $500,000 at 9.85%, and a new fifth tier taxes income over $500,000 at 12.45%. Similar adjustments are made for unmarried individuals and heads of household, with corresponding increases in income thresholds and the addition of a top marginal rate of 12.45% for incomes over $250,000 and $400,000, respectively. The bill also updates the statutory year for inflation adjustments to 2025 and specifies that these changes will be effective for taxable years beginning after December 31, 2024 (or 2025 for the inflation adjustment provision).

Budget and Finance

https://www.revisor.mn.gov/bills/bill.php?b=Senate&f=SF2290&ssn=0&y=2025