reglab/statecodes huggingface dataset:
2023 Minnesota Statutes › Chapters 289A - 295 — Various State Taxes And Programs › Chapter 290 — Income And Franchise Taxes › Section 290.281 — Common Trust Fund.

290.281 COMMON TRUST FUND.
Subdivision 1.
Not taxed; defined.
A common trust fund shall not be subject to taxation under this chapter and the definitions provided in and the provisions of section 584 of the Internal Revenue Code shall apply.
Subd. 2.
[Repealed, 1982 c 523 art 1 s 72]
Subd. 3.
[Repealed, 1982 c 523 art 1 s 72]
Subd. 4.
[Repealed, 1982 c 523 art 1 s 72]
Subd. 5.
[Repealed, 1990 c 480 art 1 s 45]
Subd. 6.
[Repealed, 1982 c 523 art 1 s 72]
History:
1945 c 604 s 14; 1974 c 6 s 2; 1975 c 349 s 30; 1981 c 178 s 76; 1982 c 523 art 1 s 32; 1983 c 207 s 43; 1983 c 342 art 1 s 43; 1984 c 514 art 1 s 8; 1Sp1985 c 14 art 21 s 49; 1Sp1986 c 1 art 1 s 9; art 3 s 14; 1987 c 268 art 126; 1988 c 719 art 3 s 12; 1989 c 28 s 25; 1990 c 604 art 2 s 16; 1991 c 291 art 6 s 46; 1992 c 511 art 6 s 19; 1993 c 375 art 8 s 14; 1994 c 587 art 1 s 24
2023 Minnesota Statutes › Chapters 289A - 295 — Various State Taxes And Programs › Chapter 290 — Income And Franchise Taxes › Section 290.30 — Fiduciaries, Duty To Pay Tax.

290.30 FIDUCIARIES, DUTY TO PAY TAX.
Upon notice to the commissioner that any person is acting in a fiduciary capacity, such fiduciary shall assume the powers, rights, duties, and privileges of the taxpayer in respect of a tax imposed by this chapter, except as otherwise specifically provided and except that the tax shall be collected from the estate of the taxpayer, until notice is given that the fiduciary capacity has terminated.
Upon notice to the commissioner that any person is acting in a fiduciary capacity for a person subject to the liability specified in section 270C.58, subdivision 1, the fiduciary shall assume, on behalf of such person, the powers, rights, duties, and privileges of such person under such section, except that the liability shall be collected from the estate of such person, until notice is given that the fiduciary capacity has terminated.
Notice under this section shall be given in accordance with rules prescribed by the commissioner.
History:
(2394-29a) 1939 c 446 s 12; 1985 c 248 s 70; 1990 c 480 art 1 s 46; 2005 c 151 art 2 s 17
2023 Minnesota Statutes › Chapters 289A - 295 — Various State Taxes And Programs › Chapter 290 — Income And Franchise Taxes › Section 290.31 — Partnerships; Individual Liability Of Partners.

290.31 PARTNERSHIPS; INDIVIDUAL LIABILITY OF PARTNERS.
Subdivision 1.
Partners, not partnership, subject to tax.
Except as provided under sections 289A.35, paragraph (b), and 289A.382, subdivision 3, a partnership as such shall not be subject to the income tax imposed by this chapter, but is subject to the tax imposed under section 290.0922. Persons carrying on business as partners shall be liable for income tax only in their separate or individual capacities.
Subd. 2.
[Repealed, 1Sp2001 c 5 art 7 s 66]
Subd. 2a.
[Repealed, 1Sp2001 c 5 art 7 s 66]
Subd. 3.
[Repealed, 1Sp2001 c 5 art 7 s 66]
Subd. 4.
[Repealed, 1Sp2001 c 5 art 7 s 66]
Subd. 5.
[Repealed, 1Sp2001 c 5 art 7 s 66]
Subd. 6.
[Repealed, 1982 c 523 art 1 s 72]
Subd. 7.
[Repealed, 1982 c 523 art 1 s 72]
Subd. 8.
[Repealed, 1982 c 523 art 1 s 72]
Subd. 8a.
[Repealed, 1982 c 523 art 1 s 72]
Subd. 9.
[Repealed, 1982 c 523 art 1 s 72]
Subd. 10.
[Repealed, 1982 c 523 art 1 s 72]
Subd. 11.
[Repealed, 1982 c 523 art 1 s 72]
Subd. 12.
[Repealed, 1982 c 523 art 1 s 72]
Subd. 13.
[Repealed, 1982 c 523 art 1 s 72]
Subd. 14.
[Repealed, 1982 c 523 art 1 s 72]
Subd. 15.
[Repealed, 1982 c 523 art 1 s 72]
Subd. 16.
[Repealed, 1982 c 523 art 1 s 72]
Subd. 17.
[Repealed, 1982 c 523 art 1 s 72]
Subd. 18.
[Repealed, 1982 c 523 art 1 s 72]
Subd. 19.
[Repealed, 1Sp2001 c 5 art 7 s 66]
Subd. 20.
[Repealed, 1982 c 523 art 1 s 72]
Subd. 21.
[Repealed, 1982 c 523 art 1 s 72]
Subd. 22.
[Repealed, 1982 c 523 art 1 s 72]
Subd. 23.
[Repealed, 1982 c 523 art 1 s 72]
Subd. 24.
[Repealed, 1982 c 523 art 1 s 72]
Subd. 25.
[Repealed, 1982 c 523 art 1 s 72]
Subd. 26.
[Repealed, 1982 c 523 art 1 s 72]
Subd. 27.
Allocation of partnership income to state.
The taxable net income of the partnership shall be assigned to this state under sections 290.17 to 290.20.
Subd. 28.
[Repealed, 1980 c 419 s 46]
History:
(2394-30) 1933 c 405 s 30; Ex1937 c 49 s 20; 1939 c 446 s 13; 1945 c 596 s 2; 1945 c 604 s 30; 1947 c 635 s 11; 1955 c 406 s 1; 1981 c 60 s 18; 1981 c 178 s 77-85; 1982 c 523 art 1 s 33-36; art 40 s 14; 1983 c 207 s 43; 1983 c 342 art 1 s 30,31,43; 1984 c 514 art 1 s 8; 1Sp1985 c 14 art 21 s 35-37,49; 1986 c 444; 1Sp1986 c 1 art 1 s 9; 1987 c 268 art 1 s 83-86,126; 1988 c 719 art 3 s 12; 1989 c 28 s 25; 1990 c 604 art 2 s 13,16; 1991 c 291 art 6 s 46; 1992 c 511 art 6 s 19; 1993 c 375 art 8 s 14; 1994 c 587 art 1 s 24; 1Sp2017 c 1 art 13 s 12; 1Sp2021 c 14 art 2 s 12
2023 Minnesota Statutes › Chapters 289A - 295 — Various State Taxes And Programs › Chapter 290 — Income And Franchise Taxes › Section 290.311 — Partnership Gross Income.

290.311 PARTNERSHIP GROSS INCOME.
Subdivision 1.
Partners.
(a) Partner's modifications. In determining gross income and Minnesota taxable income of a partner, any modification described in sections 290.0131 to 290.0135, which relates to an item of partnership income, gain, loss or deduction shall be made in accordance with the partner's distributive share, for federal income tax purposes, of the item to which the modification relates.
(b) Character of items. Each item of partnership income, gain, loss, or deduction shall have the same character for a partner under this section which it has for federal income tax purposes. Where an item is not characterized for federal income tax purposes, it shall have the same character for a partner as if realized directly from the source from which realized by the partnership, or incurred in the same manner as incurred by the partnership.
(c) Minnesota tax avoidance or evasion. Where a partner's distributive share of an item of partnership income, gain, loss or deduction is determined for federal income tax purposes by special provision in the partnership agreement with respect to such item, and where the effect of such provision is the avoidance or evasion of tax under this section, the partner's distributive share of such item, and any modifications required with respect thereto shall be determined as if the partnership agreement made no special provision with respect to such item.
Subd. 2.
[Repealed, 1984 c 514 art 2 s 36]
History:
Ex1961 c 51 s 2; 1965 c 51 s 61; 1980 c 419 s 18,19; 1984 c 514 art 2 s 26; 1989 c 28 s 18; 2016 c 158 art 3 s 23
2023 Minnesota Statutes › Chapters 289A - 295 — Various State Taxes And Programs › Chapter 290 — Income And Franchise Taxes › Section 290.32 — Taxes For Part Of Year, Computation.

290.32 TAXES FOR PART OF YEAR, COMPUTATION.
When under this chapter a taxpayer is permitted or required to make a return for a fractional part of a year, the tax shall be computed in the same manner as if such fractional part of a year were an entire year, except:
(1) A taxpayer who is permitted to change the basis for reporting income from a fiscal to a calendar year shall make a separate return for the period between the close of the taxpayer's last fiscal year and the following December 31st; if the change is from a calendar to a fiscal year, a separate return shall be made for the period between the close of the taxpayer's last calendar year and the date designated as the close of the fiscal year; and if the change is from one fiscal year to another fiscal year, a separate return shall be made for the period between the close of the former fiscal year and the date designated as the close of the new fiscal year. The taxable net income, or for corporations the taxable net income as reduced by the deductions contained in section 290.21, for any such period shall be put on an annual basis by multiplying the amount thereof by 12 and dividing by the number of months included in the period for which such separate return is made; and the tax shall be that part of a tax, computed on the taxable net income put on such annual basis which the number of months in such period bears to 12 months.
(2) Where any of the enumerated changes in accounting period referred to in clause (1) involve a 52-53 week fiscal year and any such change results in a short period of less than seven days, such short period shall be added to and deemed a part of the following taxable year. If the change results in a short period of seven or more days, but less than 359 days, the taxable net income, or for corporations the taxable net income as reduced by the deductions contained in section 290.21, for any such period shall be placed on an annual basis by multiplying such income by 365 and dividing the result by the same number of days in the short period; and the tax shall be that part of a tax, computed on the taxable net income placed on such annual basis which the number of days in such short period bears to 365 days. Where the short period is 359 days or more, the tax shall be computed in the same manner as if such short period were an entire year.
History:
(2394-31) 1933 c 405 s 31; 1955 c 124 s 1; 1980 c 419 s 20; 1981 c 178 s 86; 1982 c 523 art 1 s 37; 1986 c 444
2023 Minnesota Statutes › Chapters 289A - 295 — Various State Taxes And Programs › Chapter 290 — Income And Franchise Taxes › Section 290.34 — Corporations, Special Provisions.

290.34 CORPORATIONS, SPECIAL PROVISIONS.
Subdivision 1.
Business conducted in such a way as to create losses or improper taxable net income.
When any corporation liable to taxation under this chapter conducts its business in such a manner as, directly or indirectly, to benefit its members or stockholders or any person or corporation interested in such business or to reduce the income attributable to this state by selling the commodities or services in which it deals at less than the fair price which might be obtained therefor, or buying such commodities or services at more than the fair price for which they might have been obtained, or when any corporation, a substantial portion of whose shares is owned directly or indirectly by another corporation, deals in the commodities or services of the latter corporation in such a manner as to create a loss or improper net income or to reduce the taxable net income attributable to this state, the commissioner of revenue may determine the amount of its income so as to reflect what would have been its reasonable taxable net income but for the arrangements causing the understatement of its taxable net income or the overstatement of its losses, having regard to the fair profits which, but for any agreement, arrangement, or understanding, might have been or could have been obtained from such business.
Subd. 2.
Affiliated or related corporations, combined report.
When a corporation which is required to file an income tax return is affiliated with or related to any other corporation through stock ownership by the same interests or as parent or subsidiary corporations, or has its income regulated through contract or other arrangement, the commissioner of revenue may permit or require such combined report as, in the commissioner's opinion, is necessary in order to determine the taxable net income of any one of the affiliated or related corporations.
Subd. 3.
[Repealed, 1983 c 15 s 33]
Subd. 4.
[Repealed, 1980 c 419 s 46]
Subd. 5.
Interest limitation.
The interest expense limitation under section 163(j) of the Internal Revenue Code must be computed using the combined report entities included in the unitary group under section 290.17, subdivision 4. The limitation must be aggregated between combined report entities consistent with the application to a consolidated group for federal income tax purposes.
History:
(2394-32) 1933 c 405 s 32; 1941 c 458; 1941 c 550 s 13; 1973 c 582 s 3; 1981 c 178 s 87; 3Sp1981 c 2 art 3 s 15; 1982 c 523 art 29 s 4; 1983 c 342 art 1 s 32; 1986 c 444; 1Sp1986 c 1 art 3 s 15; 1987 c 268 art 1 s 87; 1988 c 719 art 2 s 38; 1Sp2019 c 6 art 1 s 58
2023 Minnesota Statutes › Chapters 289A - 295 — Various State Taxes And Programs › Chapter 290 — Income And Franchise Taxes › Section 290.431 — Nongame Wildlife Checkoff.

290.431 NONGAME WILDLIFE CHECKOFF.
Every individual who files an income tax return or property tax refund claim form may designate on their original return that $1 or more shall be added to the tax or deducted from the refund that would otherwise be payable by or to that individual and paid into an account to be established for the management of nongame wildlife. The commissioner of revenue shall, on the income tax return and the property tax refund claim form, notify filers of their right to designate that a portion of their tax or refund shall be paid into the nongame wildlife management account. The sum of the amounts so designated to be paid shall be credited to the nongame wildlife management account for use by the nongame program in the Department of Natural Resources. All interest earned on money accrued, gifts to the program, contributions to the program, and reimbursements of expenditures in the nongame wildlife management account shall be credited to the account by the commissioner of management and budget, except that gifts or contributions received directly by the commissioner of natural resources and directed by the contributor for use in specific nongame field projects or geographic areas shall be handled according to section 84.085, subdivision 1.
The state pledges and agrees with all contributors to the nongame wildlife management account to use the funds contributed solely for the management of nongame wildlife projects and further agrees that it will not impose additional conditions or restrictions that will limit or otherwise restrict the ability of the commissioner of natural resources to use the available funds for the most efficient and effective management of nongame wildlife. The commissioner may use funds appropriated for nongame wildlife programs for the purpose of developing, preserving, restoring, and maintaining wintering habitat for neotropical migrant birds in Latin America and the Caribbean under agreement or contract with any nonprofit organization dedicated to the construction, maintenance, and repair of such projects that are acceptable to the governmental agency having jurisdiction over the land and water affected by the projects. Under this authority, the commissioner may execute agreements and contracts if the commissioner determines that the use of the funds will benefit neotropical migrant birds that breed in or migrate through the state.
History:
1980 c 607 art 1 s 24; 1981 c 356 s 340; 1982 c 523 art 1 s 42; 1983 c 342 art 1 s 35; 1984 c 514 art 2 s 28; 1986 c 383 s 14; 1988 c 690 art 1 s 1; 1989 c 335 art 1 s 269; 1999 c 231 s 178; 2000 c 495 s 47; 2003 c 112 art 2 s 50; 2006 c 243 s 21; 2009 c 101 art 2 s 109; 2010 c 361 art 4 s 67; 1Sp2011 c 2 art 4 s 24
2023 Minnesota Statutes › Chapters 289A - 295 — Various State Taxes And Programs › Chapter 290 — Income And Franchise Taxes › Section 290.432 — Corporate Nongame Wildlife Checkoff.

290.432 CORPORATE NONGAME WILDLIFE CHECKOFF.
A corporation that files an income tax return may designate on its original return that $1 or more shall be added to the tax or deducted from the refund that would otherwise be payable by or to that corporation and paid into the nongame wildlife management account established by section 290.431 for use by the Department of Natural Resources for its nongame wildlife program. The commissioner of revenue shall, on the corporate tax return, notify filers of their right to designate that a portion of their tax return be paid into the nongame wildlife management account for the protection of endangered natural resources. All interest earned on money accrued, gifts to the program, contributions to the program, and reimbursements of expenditures in the nongame wildlife management account shall be credited to the account by the commissioner of management and budget, except that gifts or contributions received directly by the commissioner of natural resources and directed by the contributor for use in specific nongame field projects or geographic areas shall be handled according to section 84.085, subdivision 1.
The state pledges and agrees with all corporate contributors to the nongame wildlife account to use the funds contributed solely for the nongame wildlife program and further agrees that it will not impose additional conditions or restrictions that will limit or otherwise restrict the ability of the commissioner of natural resources to use the available funds for the most efficient and effective management of those programs.
History:
1989 c 335 art 1 s 189; 1999 c 231 s 179; 2000 c 495 s 48; 2003 c 112 art 2 s 50; 2006 c 243 s 21; 2009 c 101 art 2 s 109; 2010 c 361 art 4 s 68; 1Sp2011 c 2 art 4 s 25
2023 Minnesota Statutes › Chapters 289A - 295 — Various State Taxes And Programs › Chapter 290 — Income And Franchise Taxes › Section 290.433 — Easy Enrollment Health Insurance Outreach Program Checkoff.

290.433 EASY ENROLLMENT HEALTH INSURANCE OUTREACH PROGRAM CHECKOFF.
Subdivision 1.
Taxpayer designation.
Any individual who files an income tax return may designate on their original return a request that the commissioner provide their return information to the MNsure board for purposes of providing the individual with information about potential eligibility for financial assistance and health insurance enrollment options under section 62V.13, to the extent necessary to administer the easy enrollment health insurance outreach program.
Subd. 2.
Form.
The commissioner shall notify filers of their ability to make the designation in subdivision 1 on their income tax return.
History:
2023 c 70 art 16 s 17
2023 Minnesota Statutes › Chapters 289A - 295 — Various State Taxes And Programs › Chapter 290 — Income And Franchise Taxes › Section 290.48 — Large Amounts Of Cash; Presumption Of Jeopardy.

290.48 LARGE AMOUNTS OF CASH; PRESUMPTION OF JEOPARDY.
Subdivision 1.
[Repealed, 1982 c 523 art 2 s 49]
Subd. 2.
[Repealed, 1982 c 523 art 2 s 49]
Subd. 3.
[Repealed, 2005 c 151 art 1 s 117]
Subd. 4.
[Repealed, 2005 c 151 art 1 s 117]
Subd. 5.
[Repealed, 1991 c 291 art 16 s 12]
Subd. 6.
[Repealed, 1983 c 15 s 33]
Subd. 7.
[Repealed, 1992 c 511 art 7 s 26]
Subd. 8.
[Repealed, 1991 c 291 art 16 s 12]
Subd. 9.
[Repealed, 1982 c 523 art 2 s 49]
Subd. 10.
Presumptions where owner of large amount of cash is not identified.
(a) If the individual who is in physical possession of cash in excess of $10,000 does not claim such cash, or does not claim it belongs to another person whose identity the commissioner can readily ascertain and who acknowledges ownership of such cash, then, for purposes of section 270C.36, it shall be presumed that the cash represents gross income of a single individual for the taxable year in which the possession occurs, and that the collection of tax will be jeopardized by delay.
(b) In the case of any assessment resulting from the application of clause (a), the entire amount of the cash shall be treated as taxable income for the taxable year in which the possession occurs, such income shall be treated as taxable at an eight percent rate, and except as provided in clause (c), the possessor of the cash shall be treated (solely with respect to the cash) as the taxpayer for purposes of this chapter and the assessment and collection of the tax.
(c) If, after an assessment resulting from the application of clause (a), the assessment is abated and replaced by an assessment against the owner of the cash, the later assessment shall be treated for purposes of all laws relating to lien, levy, and collection as relating back to the date of the original assessment.
(d) For purposes of this subdivision, the definitions contained in section 6867 of the Internal Revenue Code shall apply.
History:
(2394-45) 1933 c 405 s 45; 1957 c 763 s 1,2; 1959 c 367 s 3-5; 1959 c 596 s 1; 1965 c 464 s 1; 1969 c 305 s 1; 1978 c 674 s 60; 1978 c 767 s 21,22; 1981 c 178 s 93; 1982 c 523 art 2 s 29-32; 1983 c 207 s 25,43; 1983 c 342 art 1 s 43; 1984 c 514 art 1 s 8; 1Sp1985 c 14 art 21 s 49; 1986 c 444; 1Sp1986 c 1 art 1 s 9; 1Sp1986 c 3 art 1 s 82; 1987 c 268 art 1 s 101; 1988 c 719 art 3 s 12; 1989 c 28 s 25; 1990 c 604 art 2 s 16; 1991 c 291 art 6 s 46; 1992 c 511 art 6 s 19; 1993 c 375 art 8 s 14; 1994 c 587 art 1 s 24; 2006 c 212 art 3 s 26
2023 Minnesota Statutes › Chapters 289A - 295 — Various State Taxes And Programs › Chapter 290 — Income And Franchise Taxes › Section 290.491 — Tax On Gain; Discharge In Bankruptcy.

290.491 TAX ON GAIN; DISCHARGE IN BANKRUPTCY.
(a) Any tax due under this chapter on a gain realized on a forced sale pursuant to foreclosure of a mortgage or other security interest in agricultural production property, other real property, or equipment, used in a farm business that was owned and operated by the taxpayer shall be a dischargeable debt in a bankruptcy proceeding under United States Code, title 11, section 727.
(b) Income realized on a sale or exchange of agricultural production property, other real property, or equipment, used in a farm business that was owned and operated by the taxpayer shall be exempt from taxation under this chapter, if the taxpayer was insolvent at the time of the sale and the proceeds of the sale were used solely to discharge indebtedness secured by a mortgage, lien, or other security interest on the property sold. For purposes of this section, "insolvent" means insolvent as defined in section 108(d)(3) of the Internal Revenue Code. This paragraph applies only to the extent that the gain is includable in federal taxable income or in the computation of the alternative minimum taxable income under section 290.091 for purposes of the alternative minimum tax. The amount of the exemption is limited to the excess of the taxpayer's (1) liabilities over (2) the total assets and any exclusion claimed under section 108 of the Internal Revenue Code determined immediately before application of this paragraph.
(c) For purposes of this section, any tax due under this chapter specifically includes, but is not limited to, tax imposed under sections 290.02 and 290.03 on income derived from a sale or exchange, whether constituting gain, discharge of indebtedness or recapture of depreciation deductions, or the alternative minimum tax imposed under section 290.091.
History:
1Sp1985 c 14 art 1 s 50; 1986 c 398 art 21 s 4; 1Sp1986 c 1 art 1 s 9; 1987 c 268 art 1 s 102,126; 1988 c 719 art 1 s 16; art 3 s 12; 1989 c 28 s 25; 1990 c 604 art 2 s 16; 1991 c 291 art 6 s 46; 1992 c 511 art 6 s 19; 1993 c 375 art 8 s 14; 1994 c 587 art 1 s 24
2023 Minnesota Statutes › Chapters 289A - 295 — Various State Taxes And Programs › Chapter 290 — Income And Franchise Taxes › Section 290.62 — Distribution Of Revenues.

290.62
MS 1965 [Repealed, Ex1967 c 48 s 91]
290.62 DISTRIBUTION OF REVENUES.
All revenues derived from the taxes, interest, penalties and charges under this chapter shall, notwithstanding any other provisions of law, be paid into the state treasury and credited to the general fund, and be distributed as follows:
(1) There shall, notwithstanding any other provision of the law, be paid from this general fund all refunds of taxes erroneously collected from taxpayers under this chapter as provided herein;
(2) There is hereby appropriated to the persons entitled to payment herein, from the fund or account in the state treasury to which the money was credited, an amount sufficient to make the refund and payment.
History:
Ex1967 c 48 s 90; 1969 c 399 s 28; Ex1971 c 31 art 20 s 9; 1980 c 419 s 25
2023 Minnesota Statutes › Chapters 289A - 295 — Various State Taxes And Programs › Chapter 290 — Income And Franchise Taxes › Section 290.9705 — Surety Deposits Required For Construction Contracts.

290.9705 SURETY DEPOSITS REQUIRED FOR CONSTRUCTION CONTRACTS.
Subdivision 1.
Withholding of payments to out-of-state contractors.
(a) In this section, "person" means a person, corporation, or cooperative, the state of Minnesota and its political subdivisions, and a city, county, and school district in Minnesota.
(b) A person who in the regular course of business is hiring, contracting, or having a contract with a nonresident person or a corporation or cooperative created or organized outside Minnesota, to perform construction work in Minnesota, shall deduct and withhold eight percent of payments made to the contractor if the value of the contract exceeds $50,000.
Subd. 2.
[Repealed, 1990 c 480 art 1 s 45]
Subd. 3.
Waiver of withholding.
The conditions in subdivision 1 may be waived by the commissioner if (1) the contractor gives the commissioner a cash surety or a bond, secured by an insurance company licensed by Minnesota, conditioned that the contractor will comply with all applicable provisions of this chapter and chapter 297A, or (2) the contractor has done construction work in Minnesota at any time during the three calendar years prior to entering the contract and has fully complied with all the provisions of this chapter and chapter 297A for the three prior years.
Subd. 4.
Deposits used as surety for compliance with income and sales tax provisions.
The amounts deposited with the commissioner under subdivision 1 are considered a surety to guarantee payment of income, franchise, withholding, and sales and use taxes of the contractor. The commissioner shall retain the money deposited until the commissioner determines the contractor's liability for state income, franchise, sales and use taxes, and taxes withheld under section 290.92.
History:
1989 c 28 s 22; 1990 c 480 art 1 s 35; 1Sp2005 c 3 art 3 s 15; 2013 c 143 art 15 s 11; 2023 c 25 s 160; 2023 c 64 art 16 s 4
2023 Minnesota Statutes › Chapters 289A - 295 — Various State Taxes And Programs › Chapter 290 — Income And Franchise Taxes › Section 290.9725 — S Corporation.

290.9725 S CORPORATION.
For purposes of this chapter, the term "S corporation" means any corporation having a valid election in effect for the taxable year under section 1362 of the Internal Revenue Code. An S corporation shall not be subject to the taxes imposed by this chapter, except the taxes imposed under sections 290.0922, 290.92, 290.9727, 290.9728, and 290.9729.
History:
1981 c 344 s 2; 1982 c 523 art 1 s 60; 1983 c 207 s 38,43; 1983 c 342 art 1 s 43; 1984 c 514 art 1 s 8; 1Sp1985 c 14 art 21 s 49; 1Sp1986 c 1 art 1 s 9; 1987 c 268 art 1 s 113; 1988 c 719 art 2 s 46; 1989 c 28 s 25; 1990 c 604 art 2 s 15,16; 1991 c 291 art 6 s 46; 1992 c 511 art 6 s 19; 1993 c 375 art 8 s 14; 1994 c 587 art 1 s 24; 1997 c 231 art 6 s 17; 1997 c 251 s 13; 1999 c 243 art 2 s 26; 1Sp2001 c 5 art 9 s 24
2023 Minnesota Statutes › Chapters 289A - 295 — Various State Taxes And Programs › Chapter 290 — Income And Franchise Taxes › Section 290.9726 — Corporation Taxable Income Taxed To Shareholders.

290.9726 CORPORATION TAXABLE INCOME TAXED TO SHAREHOLDERS.
Subdivision 1.
General rule.
The gross income of the shareholders of corporations described in section 290.9725 shall be computed under the provisions of section 290.01, subdivision 20.
Subd. 2.
Character of items distributed or considered distributed.
The character of any item of income, gain, loss, or deduction included in shareholder's income, for the period of time that the shareholder is not a resident of Minnesota, shall be determined as if the item were realized directly from the source from which it was realized by the corporation or incurred in the same manner as incurred by the corporation.
Subd. 3.
[Repealed, 1987 c 268 art 1 s 127]
Subd. 4.
Treatment of family groups.
Any amount of taxable income apportioned or allocated to a shareholder may be reapportioned or reallocated under the provisions of section 1366(e) of the Internal Revenue Code if the commissioner determines it necessary in order to correctly reflect the value of services rendered to the corporation by the shareholders.
Subd. 5.
[Repealed, 1987 c 268 art 1 s 127]
Subd. 6.
[Repealed, 1987 c 268 art 1 s 127]
Subd. 7.
[Repealed, 1Sp2001 c 5 art 9 s 30]
History:
1982 c 523 art 1 s 61; 1983 c 207 s 39,40,43; 1983 c 342 art 1 s 43; 1984 c 514 art 1 s 8; art 4 s 9; 1985 c 210 art 2 s 8; 1Sp1985 c 14 art 21 s 49; 1986 c 444; 1Sp1986 c 1 art 1 s 9; 1987 c 268 art 1 s 114-116; 1988 c 719 art 3 s 12; 1989 c 28 s 25; 1990 c 604 art 2 s 16; 1991 c 291 art 6 s 46; 1992 c 511 art 6 s 19; 1993 c 375 art 8 s 14; 1994 c 587 art 1 s 24; 1999 c 243 art 2 s 27
2023 Minnesota Statutes › Chapters 289A - 295 — Various State Taxes And Programs › Chapter 290 — Income And Franchise Taxes › Section 290.9727 — Tax On Certain Built-in Gains.

290.9727 TAX ON CERTAIN BUILT-IN GAINS.
Subdivision 1.
Tax imposed.
For an S corporation electing S corporation status pursuant to section 1362 of the Internal Revenue Code after December 31, 1986, and having a recognized built-in gain as defined in section 1374 of the Internal Revenue Code, there is imposed a tax on the taxable income of such S corporation, as defined in this section, at the rate prescribed by section 290.06, subdivision 1. This subdivision does not apply to any corporation having an S election in effect for each of its taxable years. An S corporation and any predecessor corporation must be treated as one corporation for purposes of the preceding sentence.
Subd. 1a.
Asset transfers.
In the case of the transfer of assets from a C corporation to an S corporation as described in section 1374(d)(8) of the Internal Revenue Code, a tax is imposed on the taxable income of the S corporation, as defined in this section, at the rate prescribed in section 290.06, subdivision 1.
Subd. 2.
Taxable income.
For purposes of this section, taxable income means taxable net income less the deduction for net operating loss carryforwards as provided by this section.
Subd. 3.
Taxable net income.
For purposes of this section, taxable net income means the lesser of:
(1) the recognized built-in gains of the S corporation for the taxable year, as determined under section 1374 of the Internal Revenue Code, subject to the modifications provided in section 290.0135, that are allocable to this state under section 290.17, 290.191, or 290.20; or
(2) the amount of the S corporation's federal taxable income, as determined under section 1374(d)(4) of the Internal Revenue Code, subject to the provisions of sections 290.0131 to 290.0135, that is allocable to this state under section 290.17, 290.191, or 290.20.
Subd. 4.
Net operating loss carryforward.
A net operating loss carryforward, as determined under section 290.095, arising in a taxable year before the corporation elected S corporation status, shall be allowed as a deduction against the lesser of the amounts referred to in subdivision 3, clauses (1) and (2). For purposes of determining the amount of any such loss that may be carried to later taxable years, the lesser of the amounts referred to in subdivision 3, clauses (1) and (2), shall be treated as taxable income.
Subd. 5.
Credit carryforward.
Any credit carryforward allowed under this chapter and arising in a taxable year in which the corporation was a C corporation is allowed as a credit against the tax imposed by this section.
History:
1988 c 719 art 2 s 47; 1989 c 28 s 25; 1990 c 604 art 2 s 16; 1991 c 291 art 6 s 46; art 7 s 21-24; 1992 c 511 art 6 s 19; 1993 c 375 art 8 s 14; 1994 c 587 art 1 s 24; 1997 c 231 art 6 s 18; 2003 c 2 art 1 s 32; 2016 c 158 art 3 s 24
2023 Minnesota Statutes › Chapters 289A - 295 — Various State Taxes And Programs › Chapter 290 — Income And Franchise Taxes › Section 290.9728 — Tax On Capital Gains.

290.9728 TAX ON CAPITAL GAINS.
Subdivision 1.
Tax imposed.
There is imposed a tax on the taxable income of an S corporation that has:
(1) elected S corporation status pursuant to section 1362 of the Internal Revenue Code of 1986, as amended through December 31, 1986, before January 1, 1987;
(2) a net capital gain for the taxable year (i) in excess of $25,000 and (ii) exceeding 50 percent of the corporation's federal taxable income for the taxable year; and
(3) federal taxable income for the taxable year exceeding $25,000.
The tax is imposed at the rate prescribed by section 290.06, subdivision 1. For purposes of this section, "federal taxable income" means federal taxable income determined under section 1374(4)(d) of the Internal Revenue Code. This section does not apply to an S corporation which has had an election under section 1362 of the Internal Revenue Code of 1954, in effect for the three immediately preceding taxable years. This section does not apply to an S corporation that has been in existence for less than four taxable years and has had an election in effect under section 1362 of the Internal Revenue Code of 1954 for each of the corporation's taxable years. For purposes of this section, an S corporation and any predecessor corporation are treated as one corporation.
Subd. 2.
Taxable income.
For purposes of this section, taxable income means the lesser of:
(1) the amount of the net capital gain of the S corporation for the taxable year, as determined under sections 1222 and 1374 of the Internal Revenue Code, and subject to the modifications provided in section 290.0135, in excess of $25,000 that is allocable to this state under section 290.17, 290.191, or 290.20; or
(2) the amount of the S corporation's federal taxable income, subject to the provisions of sections 290.0133 to 290.0135, that is allocable to this state under section 290.17, 290.191, or 290.20.
History:
1987 c 268 art 1 s 126; 1988 c 719 art 2 s 48; 1989 c 28 s 25; 1990 c 604 art 2 s 16; 1991 c 291 art 6 s 46; 1992 c 511 art 6 s 19; 1993 c 375 art 8 s 14; 1994 c 587 art 1 s 24; 1997 c 231 art 6 s 19; 2003 c 2 art 1 s 33; 2014 c 308 art 9 s 70; 2016 c 158 art 3 s 25
2023 Minnesota Statutes › Chapters 289A - 295 — Various State Taxes And Programs › Chapter 290 — Income And Franchise Taxes › Section 290.9729 — Tax On Passive Investment Income.

290.9729 TAX ON PASSIVE INVESTMENT INCOME.
Subdivision 1.
Tax imposed.
There is imposed a tax for the taxable year on the taxable income of an S corporation, if for the taxable year an S corporation has:
(1) subchapter C earnings and profits at the close of such taxable year; and
(2) gross receipts more than 25 percent of which are passive investment income.
The tax is imposed at the rate prescribed by section 290.06, subdivision 1. The terms "subchapter C earnings and profits," "passive investment income," and "gross receipts" have the same meanings as when used in sections 1362(d)(3) and 1375 of the Internal Revenue Code.
Subd. 2.
Taxable income.
For the purposes of this section, taxable income means the lesser of:
(1) the amount of the S corporation's excess net passive income, as determined under section 1375 of the Internal Revenue Code, subject to the provisions of sections 290.0133 to 290.0135, that is allocable to this state under section 290.17, 290.191, or 290.20; or
(2) the amount of the S corporation's federal taxable income, as determined under section 1374(d)(4) of the Internal Revenue Code, subject to the provisions of sections 290.0133 to 290.0135, that is allocable to this state under section 290.17, 290.191, or 290.20.
Subd. 3.
Waiver of tax.
The tax imposed by this section shall be waived if the taxpayer receives a waiver for federal income tax purposes under section 1375(d) of the Internal Revenue Code.
History:
1988 c 719 art 2 s 49; art 3 s 12; 1989 c 28 s 25; 1990 c 604 art 2 s 16; 1991 c 291 art 6 s 46; 1992 c 511 art 6 s 19; 1993 c 375 art 8 s 14; 1994 c 587 art 1 s 24; 2003 c 2 art 1 s 34; 2016 c 158 art 3 s 26
2023 Minnesota Statutes › Chapters 289A - 295 — Various State Taxes And Programs › Chapter 290 — Income And Franchise Taxes › Section 290.9741 — Election By Remic.

290.9741 ELECTION BY REMIC.
An entity having a valid election as a Real Estate Mortgage Investment Conduit (REMIC) in effect under section 860D(b) of the Internal Revenue Code shall not be subject to the taxes imposed by this chapter except the tax imposed under section 290.92.
History:
1987 c 268 art 1 s 118; 1988 c 719 art 3 s 12; 1989 c 28 s 25; 1990 c 604 art 2 s 16; 1991 c 291 art 6 s 46; 1992 c 511 art 6 s 19; 1993 c 375 art 8 s 14; 1994 c 587 art 1 s 24
2023 Minnesota Statutes › Chapters 289A - 295 — Various State Taxes And Programs › Chapter 290 — Income And Franchise Taxes › Section 290.9742 — Remic Income Taxable To Holders Of Interests.

290.9742 REMIC INCOME TAXABLE TO HOLDERS OF INTERESTS.
The income of a REMIC is taxable to the holders of interests in the REMIC as provided in sections 860A to 860G of the Internal Revenue Code. The income of the holders must be computed under the provisions of this chapter.
History:
1987 c 268 art 1 s 119; 1988 c 719 art 3 s 12; 1989 c 28 s 25; 1990 c 604 art 2 s 16; 1991 c 291 art 6 s 46; 1992 c 511 art 6 s 19; 1993 c 375 art 8 s 14; 1994 c 587 art 1 s 24
2023 Minnesota Statutes › Chapters 289A - 295 — Various State Taxes And Programs › Chapter 290 — Income And Franchise Taxes › Section 290.993 — Special Limited Adjustment.

290.993 SPECIAL LIMITED ADJUSTMENT.
(a) For an individual, estate, or trust, or a partnership that elects to file a composite return under section 289A.08, subdivision 7, for taxable years beginning after December 31, 2017, and before January 1, 2019, the following special rules apply:
(1) an individual income taxpayer may: (i) take the standard deduction; or (ii) make an election under section 63(e) of the Internal Revenue Code to itemize, for Minnesota individual income tax purposes, regardless of the choice made on their federal return; and
(2) there is an adjustment to tax equal to the difference between the tax calculated under this chapter using the Internal Revenue Code as amended through December 16, 2016, and the tax calculated under this chapter using the Internal Revenue Code amended through December 31, 2018, before the application of credits. The end result must be zero additional tax due or refund.
(b) The adjustment in paragraph (a), clause (2), does not apply to any changes due to sections 11012, 13101, 13201, 13202, 13203, 13204, 13205, 13207, 13301, 13302, 13303, 13313, 13502, 13503, 13801, 14101, 14102, 14211 through 14215, and 14501 of Public Law 115-97; and section 40411 of Public Law 115-123.
History:
1Sp2019 c 6 art 1 s 61; 1Sp2021 c 14 art 12 s 14
2023 Minnesota Statutes › Chapters 289A - 295 — Various State Taxes And Programs › Chapter 290A — Property Tax Refund › Section 290A.01 — Citation.

290A.01 CITATION.
This chapter may be cited as the "State of Minnesota Property Tax Refund Act."
History:
1975 c 437 art 1 s 1; 1977 c 423 art 2 s 1; 1Sp1981 c 4 art 1 s 137; 1984 c 514 art 4 s 17
2023 Minnesota Statutes › Chapters 289A - 295 — Various State Taxes And Programs › Chapter 290A — Property Tax Refund › Section 290A.02 — Purpose.

290A.02 PURPOSE.
The purpose of this chapter is to provide property tax relief to certain persons who own their homesteads.
History:
1975 c 437 art 1 s 2; 1Sp1981 c 4 art 1 s 138; 1984 c 514 art 4 s 17; 2023 c 64 art 7 s 10
2023 Minnesota Statutes › Chapters 289A - 295 — Various State Taxes And Programs › Chapter 290A — Property Tax Refund › Section 290A.05 — Combined Household Income; Rental Agreements And Reduction Of Property Taxes Payable.

290A.05 COMBINED HOUSEHOLD INCOME; RENTAL AGREEMENTS AND REDUCTION OF PROPERTY TAXES PAYABLE.
(a) If a person occupies a homestead with another person not related to the person as the person's spouse, excluding dependents, roomers or boarders on contract, and has property tax payable with respect to the homestead, the household income of the claimant or claimants for the purpose of computing the refund allowed by section 290A.04 shall include the total income received by the other persons residing in the homestead. For purposes of this section, "dependent" includes a parent of the claimant or spouse who lives in the claimant's homestead and does not have an ownership interest in the homestead.
(b) If a person occupies a homestead with another person or persons not related to the person as the person's spouse or as dependents,and the other person or persons are residing at the homestead under a rental or lease agreement with the homeowner, the amount of property tax payable equals that portion not covered by the rental agreement.
History:
1975 c 437 art 1 s 5; 1977 c 423 art 2 s 12; 1983 c 294 s 6; 1984 c 522 s 11; 1991 c 291 art 6 s 42; 1Sp2019 c 6 art 24 s 16; 2023 c 64 art 7 s 20
2023 Minnesota Statutes › Chapters 289A - 295 — Various State Taxes And Programs › Chapter 290A — Property Tax Refund › Section 290A.07 — Claims Payments.

290A.07 CLAIMS PAYMENTS.
Subdivision 1.
Authority.
Allowable claims filed pursuant to the provisions of this chapter shall be paid by the commissioner from the general fund.
Subd. 2.
[Repealed, 1982 c 641 art 2 s 13]
Subd. 2a.
Time of payment to manufactured home homeowner.
A claimant who is a homeowner who occupies a manufactured home, as defined in section 273.125, subdivision 8, paragraph (c), or a park trailer taxed as a manufactured home under section 168.012, subdivision 9, shall receive full payment after August 1 and before August 15 or 60 days after receipt of the application, whichever is later.
Subd. 3.
Time of payment to other claimants.
A claimant not included in subdivision 2a shall receive full payment after September 15 and before September 30.
Subd. 4.
[Repealed, 1981 c 343 s 43]
Subd. 5.
Early payment; e-file claims.
The commissioner may pay a claim up to 30 days earlier than the first permitted date under subdivision 2a or 3 if the claim is submitted by electronic means.
History:
1975 c 437 art 1 s 7; 1980 c 419 s 45; 1981 c 178 s 117; 1981 c 343 s 37,38; 1Sp1981 c 3 s 6-8; 1982 c 523 art 1 s 65; 1982 c 641 art 2 s 2,3; 1983 c 342 art 4 s 13; 1984 c 514 art 3 s 9,10; 1Sp1985 c 14 art 15 s 11,12; 1Sp1989 c 1 art 7 s 6; 1990 c 480 art 1 s 36,37; 1993 c 375 art 3 s 48; 1995 c 264 art 3 s 25; art 4 s 13; 1996 c 471 art 3 s 52; 1997 c 231 art 2 s 70; 2005 c 151 art 3 s 13; 2023 c 64 art 7 s 21
2023 Minnesota Statutes › Chapters 289A - 295 — Various State Taxes And Programs › Chapter 290A — Property Tax Refund › Section 290A.08 — One Claimant Per Household.

290A.08 ONE CLAIMANT PER HOUSEHOLD.
Only one claimant per household per year is entitled to relief under this chapter. Payment of the claim for relief may be made payable to the spouses as one claimant. The commissioner, upon written request, may issue separate checks, to the spouses for one-half of the relief provided the original check has not been issued or has been returned. Individuals related as spouses who were married during the year may elect to file a joint claim which shall include each spouse's income and property taxes payable. Spouses who were married for the entire year and were domiciled in the same household for the entire year must file a joint claim. The maximum dollar amount allowable for a joint claim shall not exceed the amount that one person could receive.
History:
1975 c 437 art 1 s 8; 1977 c 423 art 2 s 13; 1981 c 343 s 39; 1Sp1981 c 4 art 1 s 144; 1984 c 514 art 4 s 17; 1994 c 510 art 1 s 9; 1Sp2019 c 6 art 24 s 17; 2023 c 64 art 7 s 22
2023 Minnesota Statutes › Chapters 289A - 295 — Various State Taxes And Programs › Chapter 290A — Property Tax Refund › Section 290A.09 — Proof Of Claim.

290A.09 PROOF OF CLAIM.
(a) Every claimant shall supply to the commissioner of revenue, in support of the claim, proof of eligibility under this chapter, including but not limited to amount of property taxes accrued, changes in homestead, household membership, household income, size and nature of property claimed as a homestead.
(b) For manufactured homes, every claimant shall supply to the commissioner of revenue the name and address of the owner or managing agent of the property rented.
(c) Persons with a disability filing claims shall submit proof of disability in the form and manner as the commissioner may prescribe. The department may require examination and certification by the claimant's physician or by a physician designated by the commissioner. The cost of any examination shall be borne by the claimant, unless the examination proves the disability, in which case the cost of the examination shall be borne by the commissioner.
(d) A determination of disability of a claimant by the Social Security Administration under Title II or Title XVI of the Social Security Act shall constitute presumptive proof of disability.
History:
1975 c 437 art 1 s 9; 1Sp1981 c 4 art 1 s 145; 1984 c 514 art 4 s 17; 1986 c 444; 2016 c 158 art 1 s 214; 1Sp2019 c 6 art 24 s 18; 2023 c 64 art 7 s 23
2023 Minnesota Statutes › Chapters 289A - 295 — Various State Taxes And Programs › Chapter 290A — Property Tax Refund › Section 290A.091 — Claims Of Tenants In Leasehold Cooperatives.

290A.091 CLAIMS OF TENANTS IN LEASEHOLD COOPERATIVES.
The cooperative manager of a leasehold cooperative shall furnish a statement to each tenant by March 31 of the year in which the property tax is payable showing each unit's share of the gross property tax and each unit's share of any property tax credits. Each tenant may apply for a property tax refund under this chapter as a homeowner based on each tenant's share of property taxes. The tenant may not claim the renter's credit under section 290.0693. For the purposes of this section, a leasehold cooperative is formed on the day that leasehold cooperative status is granted by the appropriate county official.
History:
1987 c 268 art 3 s 8; 1991 c 291 art 6 s 43; 2023 c 64 art 7 s 24
2023 Minnesota Statutes › Chapters 289A - 295 — Various State Taxes And Programs › Chapter 290A — Property Tax Refund › Section 290A.10 — Proof Of Taxes Paid.

290A.10 PROOF OF TAXES PAID.
If requested by the commissioner of revenue, a claimant who files a claim for relief for property taxes payable shall provide a property tax statement or a reproduction thereof in a form deemed satisfactory by the commissioner of revenue indicating that there are no delinquent property taxes on the homestead. Indication on the property tax statement from the county treasurer that there are no delinquent taxes on the homestead shall be sufficient proof. Taxes included in a confession of judgment under section 277.23 or 279.37 shall not constitute delinquent taxes as long as the claimant is current on the payments required to be made under section 277.23 or 279.37.
History:
1975 c 437 art 1 s 10; 1977 c 423 art 2 s 14; 1986 c 444; 2009 c 88 art 7 s 9; 1Sp2017 c 1 art 17 s 3
2023 Minnesota Statutes › Chapters 289A - 295 — Various State Taxes And Programs › Chapter 290A — Property Tax Refund › Section 290A.11 — Objections To Claims.

290A.11 OBJECTIONS TO CLAIMS.
Subdivision 1.
[Repealed, 1990 c 480 art 1 s 45]
Subd. 1a.
[Repealed, 1990 c 480 art 1 s 45]
Subd. 2.
[Repealed, 1990 c 480 art 1 s 45]
Subd. 3.
[Repealed, 1990 c 480 art 1 s 45]
Subd. 4.
[Repealed, 1990 c 480 art 1 s 45]
Subd. 5.
Assignment of refund.
The commissioner shall not honor an assignment by the claimant to another person or entity of a property tax refund prior to the refund check being presented to the claimant.
History:
1975 c 437 art 1 s 11; 1976 c 134 s 78; 1977 c 307 s 29; 1978 c 767 s 23; 1980 c 607 art 3 s 4; 1981 c 343 s 40,41; 1Sp1981 c 4 art 1 s 146; 1982 c 523 art 1 s 66; 1983 c 294 s 7; 1984 c 514 art 4 s 17; 1984 c 628 art 3 s 11; 1985 c 210 art 1 s 18,19; 1987 c 268 art 17 s 19; 1988 c 719 art 5 s 84; 1989 c 329 art 13 s 20
2023 Minnesota Statutes › Chapters 289A - 295 — Various State Taxes And Programs › Chapter 290A — Property Tax Refund › Section 290A.13 — No Relief Allowed In Certain Cases.

290A.13 NO RELIEF ALLOWED IN CERTAIN CASES.
No claim for relief under this chapter shall be allowed if the commissioner determines that the claimant received title to the homestead primarily for the purpose of receiving benefits under this chapter and not for bona fide residence purposes.
History:
1975 c 437 art 1 s 13; 1Sp1981 c 4 art 1 s 147; 1984 c 514 art 4 s 17; 1986 c 444; 2023 c 64 art 7 s 25