This bill proposes a new tax provision in Minnesota that allows military members who were discharged due to the military's COVID-19 vaccination mandate to subtract their back pay from their taxable income. Specifically, it defines "military back pay for service members discharged under the military's COVID-19 vaccination mandate" as the amount authorized by a specific executive order from the President of the United States. The bill clarifies that this subtraction will be treated according to existing Minnesota tax statutes.

The effective date for this new provision is set for taxable years beginning after December 31, 2024, ensuring that the tax benefit applies to future tax filings. This legislation aims to provide financial relief to service members affected by the vaccination mandate by exempting their back pay from state income tax.