Bill Text: MN HF2641 | 2011-2012 | 87th Legislature | Introduced
Bill Title: Corporate franchise tax eliminated.
Sponsorship: Slight Partisan Bill (Republican 8-3)
Status: (Introduced - Dead) 2012-03-14 - Author added Kiel [HF2641 Detail]
Download: Minnesota-2011-HF2641-Introduced.html
1.2relating to taxation; eliminating the corporate franchise tax; amending Minnesota
1.3Statutes 2010, sections 290.06, subdivision 1; 290.0921, subdivision 1.
1.4BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:
1.5 Section 1. Minnesota Statutes 2010, section 290.06, subdivision 1, is amended to read:
1.6 Subdivision 1. Computation, corporations. The franchise tax imposed upon
1.7corporations shall be computed by applying to their taxable income the rate of:
1.8(1) 9.8 percent. for taxable years beginning before January 1, 2013; and
1.9(2) zero for taxable years beginning after December 31, 2012.
1.10EFFECTIVE DATE.This section is effective for taxable years beginning after
1.11December 31, 2012.
1.12 Sec. 2. Minnesota Statutes 2010, section 290.0921, subdivision 1, is amended to read:
1.13 Subdivision 1. Tax imposed. (a) In addition to the taxes computed under this
1.14chapter without regard to this section, the franchise tax imposed on corporations for
1.15taxable years beginning before January 1, 2013, includes a tax equal to the excess, if
1.16any, for the taxable year of:
1.17(1) 5.8 percent of Minnesota alternative minimum taxable income; over
1.18(2) the tax imposed under section290.06, subdivision 1 , without regard to this
1.19section.
1.20(b) For taxable years beginning after December 31, 2012, the tax under this
1.21subdivision is zero.
2.1EFFECTIVE DATE.This section is effective for taxable years beginning after
2.2December 31, 2012.
2.3 Sec. 3. REVISOR'S INSTRUCTION.
2.4In consultation with the commissioner of revenue, the revisor of statutes shall
2.5prepare a bill for introduction in the 2013 legislative session that repeals the corporate
2.6franchise tax and, as appropriate, repeals or substitutes new cross-references or statutory
2.7language for the repealed provisions of the franchise tax referred to in other sections of
2.8Minnesota Statutes.
1.3Statutes 2010, sections 290.06, subdivision 1; 290.0921, subdivision 1.
1.4BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:
1.5 Section 1. Minnesota Statutes 2010, section 290.06, subdivision 1, is amended to read:
1.6 Subdivision 1. Computation, corporations. The franchise tax imposed upon
1.7corporations shall be computed by applying to their taxable income the rate of:
1.8(1) 9.8 percent
1.9(2) zero for taxable years beginning after December 31, 2012.
1.10EFFECTIVE DATE.This section is effective for taxable years beginning after
1.11December 31, 2012.
1.12 Sec. 2. Minnesota Statutes 2010, section 290.0921, subdivision 1, is amended to read:
1.13 Subdivision 1. Tax imposed. (a) In addition to the taxes computed under this
1.14chapter without regard to this section, the franchise tax imposed on corporations for
1.15taxable years beginning before January 1, 2013, includes a tax equal to the excess, if
1.16any, for the taxable year of:
1.17(1) 5.8 percent of Minnesota alternative minimum taxable income; over
1.18(2) the tax imposed under section
1.19section.
1.20(b) For taxable years beginning after December 31, 2012, the tax under this
1.21subdivision is zero.
2.1EFFECTIVE DATE.This section is effective for taxable years beginning after
2.2December 31, 2012.
2.3 Sec. 3. REVISOR'S INSTRUCTION.
2.4In consultation with the commissioner of revenue, the revisor of statutes shall
2.5prepare a bill for introduction in the 2013 legislative session that repeals the corporate
2.6franchise tax and, as appropriate, repeals or substitutes new cross-references or statutory
2.7language for the repealed provisions of the franchise tax referred to in other sections of
2.8Minnesota Statutes.
