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

The effective date for this change applies to 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