HF 660

Omnibus tax bill modifying income, franchise, sales and use, insurance, and property taxes; and appropriating money.

ARTICLE 1¿INCOME AND CORPORATE FRANCHISE TAXES

Section 1: Quarterly filing basis for partnerships and S corporations specified.
Sec. 2: Foreign operating corporation definition modified.
Sec. 3: Dairy investment credit authorized.
Sec. 4: ¿Qualified beneficiary¿ definition modified.
Sec. 5: Taxpayer credit authorization modified for long-term care insurance.
Sec. 6: Apportionment formula of general application modified.
Sec. 7: Apportionment formula for financial institutions modified
Sec. 8: Payments to persons who are not employments and withholding regulations therein established.

ARTICLE 2¿FEDERAL UPDATE

Section 1: Internal revenue code date modified.
Sec. 2: Net income definition modified.
Sec. 3: Federal Taxable Income definition modified.
Sec. 4: Federal Taxable Income subtractions
Sec. 5: Corporate additions to federal taxable income modified.
Sec. 6: Corporate modifications decreasing federal taxable income modified.
Sec. 7: Internal Revenue Code date modified / conform with section 1.
Sec. 8: Technical federal Act language references inserted.
Sec. 9: Computation procedure modified.
Sec. 10: Technical references added.
Sec. 11: Income definition modified.
Sec. 12: Earned income of lesser earning spouse definition modified.
Sec. 13: Technical references added.
Sec. 14: Income definition modified.
Sec. 15: ¿Internal Revenue Code¿ definition modified

ARTICLE 3¿SALES, USE, AND SPECIAL TAXES

Section 1: Contracts with foreign vendors regulated.
Sec. 2: Federal Tricare program payments exemption provided.
Sec. 3: Liquor gross receipts tax established.
Sec. 4: Retail sale definition modified.
Sec. 5: Sales price definition modified.
Sec. 6: Cigarette tax exemption provided.
Sec. 7: IIndustrial production materials exemption modified.
Sec. 8: Capital equipment exemption modified.
Sec. 9: Motor vehicle lease price payment taxation regulations established.
Sec. 10: Bad debt offset authorized.
Sec. 11: Cigarette sales tax imposed.
Sec. 12: Revenue allocation procedure modified.
Sec. 13: ¿Direct business¿ definition modified.
Sec. 14: Proceeds disposition modified.
Sec. 15: Repealer.
Sec. 16: Floor stocks cigarette tax imposed

ARTICLE 4¿INTERNATIONAL ECONOMIC DEVELOPMENT ZONE

Section 1: International economic development zone property improvements
exemption provided.
Sec. 2: Federal taxable income subtractions authorization modified.
Sec. 3: ?Taxable income? definition modified.
Sec. 4: Rate schedules for individuals, estates, and trusts modified.
Sec. 5: International economic development zone job credit authorized.
Sec. 6: Credit amount modified.
Sec. 7: Credit authorization modified.
Sec. 8: Definitions modified.
Sec. 9: Alternative minimum taxable income definition modified.
Sec. 10: IEDZ entity exemptions clarified.
Sec. 11: ?Minnesota property? and ?Minnesota payrolls? definitions modified.
Sec. 12: International economic development zone purchases modified.
Sec. 13: Related term definitions provided.
Sec. 14: Designation application regulations established.
Sec. 15: International economic development zone designations provided.
Sec. 16: Foreign trade zone authority powers regulated and regional
distribution center development authorized.
Sec. 17: International Economic Development Zone tax incentive availability
detailed.
Sec. 18: Individual income tax exemption application procedure provided.
Sec. 19: Corporate franchise tax exemption provided.
Sec. 20: Jobs credit authorized.
Sec. 21: Tax benefit repayment detailed.
Sec. 22: Reporting requirements established.

ARTICLE 5¿MISCELLANEOUS

Section 1: Designation of property tax refund authorized.
Sec. 2: Form template modified.
Sec. 3: Income tax appropriation procedures modified.
Sec. 4: ¿Refund¿ definition modified.
Sec. 5: Residential homestead market value credit modified.
Sec. 6: Right to refund provided.
Sec. 7: Taxpayer definition modified.
Sec. 8: Rent constituting property taxes definition modified.
Sec. 9: Tax benefit allocation authorized.
Sec. 10: City aid payments reduced.
Sec. 11: Repealer.

AME