This bill amends various sections of the Minnesota Statutes related to corporate franchise and unitary taxation, specifically expanding the definition of the unitary group to include foreign corporations. Key changes include the addition of new provisions that define "net income" for foreign corporations and other foreign entities that are part of a unitary business, allowing for the use of profit and loss statements if federal taxable income is not administrable. Additionally, the bill introduces new subdivisions that allow for subtractions related to global intangible low-taxed income and subpart F income, which are included in gross income under specific sections of the Internal Revenue Code.

Furthermore, the bill repeals certain subdivisions of section 290.21, which previously classified controlled foreign corporations and global intangible low-taxed income as dividend income. The effective date for these changes is set for taxable years beginning after December 31, 2025. Overall, the bill aims to modernize Minnesota's tax code to better accommodate the complexities of international business operations and align with federal tax regulations.

Statutes affected:
Introduction: 290.01, 290.0132, 290.0134, 290.17, 290.21