Bill Text: MN HF446 | 2011-2012 | 87th Legislature | Introduced
Bill Title: Jobs credit for increasing employment allowed.
Spectrum: Partisan Bill (Republican 3-0)
Status: (Introduced - Dead) 2011-02-17 - Author added Downey [HF446 Detail]
Download: Minnesota-2011-HF446-Introduced.html
1.2relating to taxation; allowing a jobs credit for increasing employment; amending
1.3Minnesota Statutes 2010, section 290.06, by adding a subdivision.
1.4BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:
1.5 Section 1. Minnesota Statutes 2010, section 290.06, is amended by adding a
1.6subdivision to read:
1.7 Subd. 36. Jobs credit for increasing employment. (a) A business is allowed a
1.8credit against the tax imposed by this chapter. The credit equals five percent of the:
1.9(1) total Minnesota payroll for the taxable year, less the total Minnesota payroll for
1.10taxable year 2010; minus
1.11(2) payroll attributable to full-time equivalent employees that the business employs
1.12in Minnesota for the taxable year, minus the payroll attributable to full-time equivalent
1.13employees the business employed in Minnesota in taxable year 2010, but not less than zero.
1.14(b) For purposes of this subdivision, the following terms have the meanings given
1.15them:
1.16(1) "full-time equivalent employees" means the equivalent of annualized expected
1.17hours of work equal to 2,080 hours, but only if the annual wages, as defined in section
1.18290.92, paid to the employee exceed $35,000; and
1.19(2) "Minnesota payroll" means the wages or salaries attributed to Minnesota under
1.20section 290.191, subdivision 12, for the business or the unitary business of which the
1.21qualified business is a part, whichever is greater, less the amount of compensation
1.22attributable to any employee that exceeds $117,000.
1.23(c) The credit is limited to the liability for tax under this chapter, including the tax
1.24imposed by sections 290.0921 and 290.0922.
2.1(d) If the amount of the credit under this subdivision for any taxable year exceeds
2.2the limitations under paragraph (c), the excess is a credit carryover to each of the four
2.3succeeding taxable years. The entire amount of the excess unused credit for the taxable
2.4year must be carried first to the earliest of the taxable years to which the credit may be
2.5carried. The amount of the unused credit that may be added under this paragraph may not
2.6exceed the taxpayer's liability for tax, less the credit for the taxable year.
2.7EFFECTIVE DATE.This section is effective for taxable years beginning after
2.8December 31, 2010.
1.3Minnesota Statutes 2010, section 290.06, by adding a subdivision.
1.4BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:
1.5 Section 1. Minnesota Statutes 2010, section 290.06, is amended by adding a
1.6subdivision to read:
1.7 Subd. 36. Jobs credit for increasing employment. (a) A business is allowed a
1.8credit against the tax imposed by this chapter. The credit equals five percent of the:
1.9(1) total Minnesota payroll for the taxable year, less the total Minnesota payroll for
1.10taxable year 2010; minus
1.11(2) payroll attributable to full-time equivalent employees that the business employs
1.12in Minnesota for the taxable year, minus the payroll attributable to full-time equivalent
1.13employees the business employed in Minnesota in taxable year 2010, but not less than zero.
1.14(b) For purposes of this subdivision, the following terms have the meanings given
1.15them:
1.16(1) "full-time equivalent employees" means the equivalent of annualized expected
1.17hours of work equal to 2,080 hours, but only if the annual wages, as defined in section
1.18290.92, paid to the employee exceed $35,000; and
1.19(2) "Minnesota payroll" means the wages or salaries attributed to Minnesota under
1.20section 290.191, subdivision 12, for the business or the unitary business of which the
1.21qualified business is a part, whichever is greater, less the amount of compensation
1.22attributable to any employee that exceeds $117,000.
1.23(c) The credit is limited to the liability for tax under this chapter, including the tax
1.24imposed by sections 290.0921 and 290.0922.
2.1(d) If the amount of the credit under this subdivision for any taxable year exceeds
2.2the limitations under paragraph (c), the excess is a credit carryover to each of the four
2.3succeeding taxable years. The entire amount of the excess unused credit for the taxable
2.4year must be carried first to the earliest of the taxable years to which the credit may be
2.5carried. The amount of the unused credit that may be added under this paragraph may not
2.6exceed the taxpayer's liability for tax, less the credit for the taxable year.
2.7EFFECTIVE DATE.This section is effective for taxable years beginning after
2.8December 31, 2010.
