The bill proposes a ten-year phaseout of the estate tax in Minnesota, amending Minnesota Statutes 2024, section 291.03, subdivision 1. It introduces new legal language that outlines a schedule for reducing the estate tax rates by 1.6 percentage points each year, starting on July 1, 2025, until the rates reach zero. Additionally, the bill mandates that the amounts added to the rate brackets will also be reduced in accordance with this schedule until they are eliminated.

The effective date for this change is specified as estates of decedents dying after June 30, 2025. The bill aims to gradually eliminate the estate tax, thereby impacting the taxation of estates over the next decade.

Statutes affected:
Introduction: 291.03