Bill Text: MN HF202 | 2011-2012 | 87th Legislature | Introduced

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Bill Title: Acceleration of single sales apportionment adopted.

Spectrum: Partisan Bill (Republican 3-0)

Status: (Introduced - Dead) 2011-02-09 - Author added Downey [HF202 Detail]

Download: Minnesota-2011-HF202-Introduced.html

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A bill for an act

relating to taxation; corporate franchise tax; accelerating adoption of single sales
apportionment;amending Minnesota Statutes 2010, section 290.191, subdivision
2.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:

    Section 1. Minnesota Statutes 2010, section 290.191, subdivision 2, is amended to read:
    Subd. 2. Apportionment formula of general application. (a) Except for those
trades or businesses required to use a different formula under subdivision 3 or section
290.36 , and for those trades or businesses that receive permission to use some other
method under section 290.20 or under subdivision 4, a trade or business required to
apportion its net income must apportion its income to this state on the basis of the
percentage obtained by taking the sum of:
(1) the percent for the sales factor under paragraph (b) of the percentage which
the sales made within this state in connection with the trade or business during the tax
period are of the total sales wherever made in connection with the trade or business during
the tax period;
(2) the percent for the property factor under paragraph (b) of the percentage which
the total tangible property used by the taxpayer in this state in connection with the trade or
business during the tax period is of the total tangible property, wherever located, used by
the taxpayer in connection with the trade or business during the tax period; and
(3) the percent for the payroll factor under paragraph (b) of the percentage which
the taxpayer's total payrolls paid or incurred in this state or paid in respect to labor
performed in this state in connection with the trade or business during the tax period are
of the taxpayer's total payrolls paid or incurred in connection with the trade or business
during the tax period.
(b) For purposes of paragraph (a) and subdivision 3, the following percentages apply
for the taxable years specified:

	Taxable years beginning during calendar year			Sales factor percent			Property factor percent		Payroll factor percent
	2007			78			11		11
	2008			81			9.5		9.5
	2009			84			8		8
	2010			87			6.5		6.5
	2011			90			5		5
	2012			93			3.5		3.5
	2013			96			2		2
	20142012 and later calendar years			100			0		0

EFFECTIVE DATE.This section is effective for taxable years beginning after
December 31, 2011.