This bill amends Minnesota Statutes 2024, specifically section 290.0695, to modify provisions related to individual income and corporate franchise taxation, particularly concerning credit certificates for railroad infrastructure expenditures. The bill introduces new definitions, including "credit certificate" and "transfer credit certificate," and clarifies the criteria for eligible taxpayers to apply for these certificates. It specifies that the commissioner of transportation must issue a credit certificate within 30 days of application approval, detailing the qualified railroad reconstruction or replacement expenditures and the total credit amount.

Additionally, the bill revises the transferability of credit certificates, allowing eligible taxpayers to transfer unused credits under certain conditions. It establishes that the amount transferred can be the unused portion of the credit stated in the certificate or the entire credit carryover for up to five succeeding taxable years. The bill also mandates that a written transfer agreement must be filed with the commissioner within 30 days of the transfer, and it limits the transfer of credits to once per taxable year. The amendments are effective retroactively for taxable years beginning after December 31, 2022.

Statutes affected:
Introduction: 290.0695