This bill proposes extensive changes to Minnesota's tax laws, affecting individual income, corporate franchise, property, sales and use, and excise taxes. Key modifications include making the research and development credit partially refundable, adjusting income tax credits, and altering property tax exemptions. The bill also introduces new provisions for land bank organizations, modifies the sales tax exemption for data centers by removing the exemption for electricity, and increases the tax on cannabis products while eliminating local cannabis aid. Additionally, it establishes new tax subtractions for discharges of indebtedness and consumer enforcement public compensation payments, and it outlines various effective dates for these changes, with some provisions taking effect as early as January 1, 2027.

Specific legal amendments include the introduction of new data privacy measures for electronic reporting systems, requiring unique validation numbers for political contribution receipts, and establishing a minimum claim amount for refunds. The bill also clarifies the classification of properties for tax purposes, including new exemptions for federally recognized Indian Tribes and adjustments to conservation property tax valuation. Furthermore, it streamlines processes related to tax increment financing (TIF) districts, allowing for extended timelines and special rules for certain cities. Overall, the bill aims to enhance transparency in campaign finance, provide flexible tax credit options, and refine tax regulations for various sectors.

Statutes affected:
Introduction: 10A.02, 10A.322, 41A.30, 270C.445, 290.0132, 290.06, 290.068, 290.0695, 290.091, 290A.03, 272.02, 273.117, 273.128, 273.13, 273.38, 273.41, 279.37, 449.08, 469.1812, 469.1813, 289A.20, 289A.60, 295.81, 297A.68, 297G.09, 290C.07, 290C.10, 477A.013, 477A.19, 469.176, 373.40, 446A.086, 462C.04, 469.104, 469.154, 474A.091, 475.521, 641.23, 3.192, 3.8855, 8.31, 16A.151, 37.31, 270C.11, 290.0693, 290A.19, 295.53, 295.54, 609.902, 477A.32, 13.4967, 116U.27, 290.0134, 297A.71, 297A.75, 297A.94, 297A.99, 297A.995, 289A.12, 297E.06, 297I.20