Bill > SF2637

This bill creates a tax credit for small businesses that invest in local media advertising, specifically targeting companies with fewer than 50 full-time employees. The credit allows qualifying taxpayers to receive a tax reduction for expenses related to advertising in local newspapers or on local radio and television stations. For taxable years beginning after December 31, 2024, and before January 1, 2026, businesses can claim up to $5,000 in credits, which drops to $2,500 for years starting after December 31, 2025. To qualify, the media outlet must be a local news source primarily serving a Minnesota community, employ at least one full-time local journalist, and meet specific ownership and funding criteria. The credit is calculated as 80% of qualifying advertising expenses in the initial period and 50% thereafter. If a business cannot use the entire credit in a given year, they can carry the unused amount forward for up to five subsequent tax years. The credit is designed to support local media by incentivizing small businesses to advertise in local newspapers and broadcast stations, and it will expire on January 1, 2029. The bill amends existing tax statutes to implement this new credit and requires that the advertising expenses be added back to the taxpayer's income for calculation purposes.

Budget and Finance

https://www.revisor.mn.gov/bills/bill.php?b=Senate&f=SF2637&ssn=0&y=2025