This bill amends various sections of the Minnesota Statutes related to estate taxation, primarily focusing on the portability of the estate tax exclusion and the removal of obsolete provisions. It introduces a new subdivision in section 289A.10 that allows a personal representative of a decedent's estate to elect for the surviving spouse to utilize the deceased spousal unused exclusion amount. This election is irrevocable and is deemed to occur unless explicitly stated otherwise on the estate tax return. Additionally, a new subdivision in section 289A.12 permits personal representatives of estates not required to file a return to also elect for portability, ensuring that surviving spouses can benefit from the unused exclusion amounts.

The bill also updates the subtraction calculations in section 291.016 for the Minnesota taxable estate, allowing for a deceased spousal unused exclusion amount, and modifies the tax computation in section 291.03 to clarify the application of rates. Notably, the bill removes outdated exclusion amounts for decedents dying in previous years and establishes new effective dates for the changes, particularly for estates of decedents dying after June 30, 2025. Overall, the bill aims to modernize estate tax provisions and enhance the financial benefits available to surviving spouses.

Statutes affected:
Introduction: 289A.10, 289A.12, 291.016, 291.03