The bill proposes significant modifications to Minnesota's taxation framework, focusing on individual income and corporate franchise taxes, property taxes, and state aid programs. Key changes include the introduction of new definitions, such as the "commissioner" of revenue, and the establishment of an electronic filing system for claiming refunds. The bill also revises property tax classifications and exemptions, particularly for properties used by private entities for profit, while imposing taxes on exempt properties utilized in business contexts. Additionally, it enhances data privacy for electronic reporting systems and sets penalties for tax preparers who do not comply with established standards.

Moreover, the bill introduces property tax exemptions for certain properties owned by federally recognized Indian Tribes, specifying criteria for exemptions based on property classification and location. It also increases the allowable number of shareholders in family farm corporations and clarifies agricultural property classifications. The bill addresses the classification and assessment of agricultural homesteads affected by natural disasters, modifies definitions related to income for tax purposes, and mandates reporting requirements for local units receiving public safety finance aid. Overall, the bill aims to streamline tax administration, enhance transparency, and provide targeted support for specific property classifications and community needs.

Statutes affected:
Introduction: 272.02, 273.38, 273.41
1st Engrossment: 3.8855, 10A.02, 10A.322, 270C.445, 290.0132, 290.06, 290.0693, 290.0695, 290.091, 272.01, 272.02, 273.124, 273.13, 273.38, 273.41, 290A.03, 446A.086, 469.104, 474A.091