Bill > HF4616

This bill establishes a new Minnesota wealth tax, which is a tax on an individual's or trust's total assets minus their debts, but only on wealth exceeding $10,000,000. The tax is set at one percent of this excess wealth and applies to property located within Minnesota, with specific rules for determining the location, or "situs," of different types of property, including intangible property like stocks and bonds, which is generally considered to be where an individual lives or where a trust is based. For non-residents who own interests in businesses that pass through income to their owners, known as "pass-through entities," their ownership of property held by these entities will be treated as if they directly owned it for the purpose of determining if it has a situs in Minnesota. The value of this property will be calculated similarly to how the value of an estate is determined for federal tax purposes, and this new wealth tax is in addition to other existing taxes. This provision would take effect for tax years beginning after December 31, 2025.

Budget and Finance

https://www.revisor.mn.gov/bills/94/2026/0/HF/4616/