Bill > HF2133

This bill makes a technical correction to Minnesota's pass-through entity tax law, specifically addressing tax credits for pass-through entity taxes paid to other states. The bill clarifies language in an existing statute by replacing the word "section" with "subdivision" in two instances, which helps to more precisely define the scope of the tax credit provision. The bill allows qualifying owners of pass-through entities (such as partnerships, limited liability companies, and S corporations) to claim a credit for taxes paid to another state on their entity's income. The credit must be claimed according to instructions from the state commissioner. The bill defines key terms like "pass-through entity tax" and "qualifying owner" and ensures that the provision will expire simultaneously with a specific section of the Internal Revenue Code. The bill maintains the commissioner's authority to audit and examine credits claimed under this provision, even after its expiration. The effective date of the bill is the day following its final enactment, making it a relatively straightforward technical amendment to existing tax law.

Budget and Finance

https://www.revisor.mn.gov/bills/bill.php?b=House&f=HF2133&ssn=0&y=2025