1.1 	A bill for an act
1.2 	relating to taxation; provider taxes; establishing a credit for certain 
1.3 	COVID-19-related purchases.
1.4 	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:

1.5 	Section 1. CREDIT AGAINST TAXES DUE.
 1.6 		Subdivision 1.Credit allowed. Notwithstanding Minnesota Statutes, section 295.52, a 
1.7 	qualifying taxpayer may claim a credit against the taxes imposed under Minnesota Statutes, 
1.8 	section 295.52, subdivisions 1 to 4, against gross revenues received after December 31, 
1.9 	2019, and before January 1, 2021, for qualifying expenses as defined in this section.
1.10 		Subd. 2.Definitions. (a) For purposes of this section, the following definitions apply.
1.11 	(b) "Qualifying taxpayer" means a taxpayer:
1.12 	(1) subject to the taxes imposed under Minnesota Statutes, section 295.52; and
1.13 	(2) for the period beginning March 13, 2020, and ending upon the expiration of any 
1.14 	executive order that relates to the infectious disease known as COVID-19, has not applied 
1.15 	for and received any state or federal funds through grant or loan programs that have been 
1.16 	established for the purpose of responding to COVID-19.
1.17 	(c) "Qualifying expenses" means expenses paid or incurred between March 13, 2020, 
1.18 	and the expiration of any executive order that relates to the infectious disease known as 
1.19 	COVID-19 for the following items or purposes that are not reimbursed through insurance 
1.20 	or any other payment:
2.1 	(1) purchasing consumable protective or treatment supplies and equipment to protect or 
2.2 	treat staff, visitors, or patients;
2.3 	(2) research costs to advance testing and treatment for COVID-19;
2.4 	(3) implementation costs for screening and testing procedures;
2.5 	(4) establishment and operation of temporary sites to provide testing services, to provide 
2.6 	treatment beds, or to isolate or quarantine affected individuals;
2.7 	(5) staff training and orientation;
2.8 	(6) temporary information technology and systems costs to support patient triage, 
2.9 	screening, and telemedicine activities;
2.10 	(7) purchasing replacement parts or filters for medical equipment that are necessary for 
2.11 	the equipment's operation;
2.12 	(8) specialty cleaning supplies for facilities and equipment; and
2.13 	(9) expenses related to the isolation or quarantine of staff.
2.14 		Subd. 3.Method of claiming credit; limitation. (a) The credit under subdivision 1 
2.15 	must be claimed on the return required under Minnesota Statutes, section 295.55, subdivision 
2.16 	5, due March 15, 2021, for calendar year 2020. The credit must be claimed in the form and 
2.17 	manner prescribed by the commissioner.
2.18 	(b) Beginning with estimated payments required under Minnesota Statutes, section 
2.19 	295.55, subdivisions 2 and 3, due in June 2020 and ending with the last estimated payment 
2.20 	for calendar year 2020 due in January 2021, the commissioner shall provide a form to 
2.21 	calculate any offset of estimated payments resulting from the credit under subdivision 1. 
2.22 	The provisions of Minnesota Statutes, section 295.55, subdivisions 2, paragraph (c), and 3, 
2.23 	paragraph (c), do not apply to underpayments of estimated taxes due June 15, 2020, to 
2.24 	January 15, 2021.
2.25 	(c) If the taxpayer's estimated payments for calendar year 2020 exceed the taxpayer's 
2.26 	actual tax liability after applying the credit, the excess must be refunded to the taxpayer, 
2.27 	but the credit allowed under this section must not reduce the taxpayer's tax liability to less 
2.28 	than zero.
2.29 	(d) An amount sufficient to pay refunds authorized under paragraph (c) is appropriated 
2.30 	from the health care access fund.

2.31 	EFFECTIVE DATE. This section is effective retroactively for taxes due on gross 
2.32 	receipts received between December 31, 2019, and January 1, 2021.