This bill establishes a private letter ruling program within the Minnesota Department of Revenue, aimed at providing taxpayers with guidance on how tax law applies to specific transactions. By January 1, 2026, the commissioner is required to implement this program, which will include an application procedure for taxpayers or their representatives to request rulings. The bill outlines that the commissioner may set a fee schedule to cover the costs of preparing these rulings and mandates that any fees collected be deposited into a special revenue fund. Additionally, if the commissioner does not issue a ruling within 90 days of receiving a completed application, the application fee must be refunded.

The bill also stipulates that private letter rulings will be binding on the commissioner for the taxpayer if certain conditions are met, such as the absence of misstatements in the application and the taxpayer's good faith reliance on the ruling. Furthermore, the commissioner is required to make these rulings publicly accessible on the department's website while ensuring taxpayer anonymity. A legislative report detailing the program's activity, including the number of applications and rulings issued, is mandated every odd-numbered year, with the first report due by January 31, 2028.