Bill > SF2548

This bill establishes a new "baby bonus" provision within the existing Minnesota child tax credit, which provides an additional $400 credit for each child born during the tax year. The bonus is added to the standard child tax credit amount and is specifically designed to provide financial support to families with newborns. Importantly, this bonus credit will not be considered when calculating a taxpayer's minimum credit amount, which means it provides a straightforward additional benefit. The bill also allows the state tax commissioner to create a process for taxpayers to potentially receive an advance payment of this bonus amount. The new provision will take effect for tax years beginning after December 31, 2024, meaning it will first be applicable for the 2025 tax year. By offering this bonus, the state aims to provide extra financial assistance to families with newborn children, potentially helping to offset some of the initial expenses associated with having a new baby.

Budget and Finance

https://www.revisor.mn.gov/bills/bill.php?b=Senate&f=SF2548&ssn=0&y=2025