A bill for an act
relating to taxation; individual income; providing a subtraction of income from
certain retirement plans; amending Minnesota Statutes 2022, section 290.0132,
by adding a subdivision.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:
Minnesota Statutes 2022, section 290.0132, is amended by adding a subdivision
to read:
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The amount of qualified distributions received
in a taxable year is a subtraction, subject to the limits in clauses (1) and (2). For purposes
of this subdivision, "qualified distributions" means payments or distributions received in a
taxable year by a Minnesota resident from a qualified retirement plan, as defined in section
401 of the Internal Revenue Code, or from an individual retirement account established
under section 408 of the Internal Revenue Code:
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(1) for a married taxpayer filing a joint return, if both spouses are at least 65 years of
age before the end of the taxable year, the subtraction equals the lesser of qualified
distributions received, or $150,000; and
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(2) for all other taxpayers who are at least 65 years of age before the end of the taxable
year, the subtraction equals the lesser of qualified distributions received, or $75,000.
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This section is effective for taxable years beginning after December
31, 2023.
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