This bill amends Minnesota Statutes 2024, section 290.01, subdivision 31, to align state tax law with recent federal changes regarding the expensing of research expenditures. Specifically, it incorporates section 70302 of Public Law 119-21, which allows for full expensing of domestic research and experimental expenditures, into the definition of the "Internal Revenue Code" as it applies in Minnesota.

Additionally, the bill establishes that the changes will take effect the day after final enactment, with the federal changes being applied retroactively to the same date they became effective for federal purposes. This alignment aims to simplify tax compliance for individuals and corporations engaged in research activities by ensuring that state tax law reflects the latest federal provisions.

Statutes affected:
Introduction: 290.01