The bill amends Minnesota Statutes 2024, section 290.0132, subdivision 26, to provide an unlimited subtraction for Social Security benefits from individual income taxes. The previous structure, which included various phaseout thresholds and reductions based on adjusted gross income, has been removed. Instead, the new language states that the amount of Social Security benefits received is a straightforward subtraction, simplifying the tax calculation for individuals receiving these benefits.

Additionally, the bill clarifies the definition of "Social Security benefits" in accordance with the Internal Revenue Code. It also establishes that the changes will take effect for taxable years beginning after December 31, 2024. This legislative change aims to provide tax relief to individuals receiving Social Security benefits by eliminating the complexities of the previous subtraction calculations.

Statutes affected:
Introduction: 290.0132