Bill > SF2469

This bill modifies Minnesota's tax code by changing how itemized deductions are calculated, specifically by excluding charitable contributions from the itemized deductions calculation for high-income taxpayers. Currently, taxpayers with adjusted gross income (AGI) over $220,650 have their itemized deductions reduced by either a percentage of their income over that threshold or by up to 80% of their total itemized deductions. The bill adds a new provision that removes charitable contributions from the itemized deductions calculation, effectively allowing high-income taxpayers to claim their full charitable contribution deductions without the typical reduction. The income thresholds will continue to be adjusted annually for inflation, and the changes will take effect for taxable years beginning after December 31, 2024. This modification could potentially provide tax benefits for high-income taxpayers who make significant charitable contributions by preserving the full value of those deductions when calculating their state income tax liability.

Budget and Finance

https://www.revisor.mn.gov/bills/bill.php?b=Senate&f=SF2469&ssn=0&y=2025