HF 1519

as introduced - 83rd Legislature (2003 - 2004) Posted on 12/15/2009 12:00am

  1.1                          A bill for an act 
  1.2             relating to taxation; providing a tax credit to 
  1.3             Minnesota dairy operators that achieve superior herd 
  1.4             health, high herd average production, and high quality 
  1.5             milk; proposing coding for new law in Minnesota 
  1.6             Statutes, chapter 290. 
  1.7   BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 
  1.8      Section 1.  [290.0676] [QUALITY MILK CREDIT.] 
  1.9      Subdivision 1.  [CREDIT ALLOWED.] A quality milk credit is 
  1.10  allowed against the tax imposed under section 290.01 or 290.02 
  1.11  equal to $.05 per hundred weight of milk produced by the 
  1.12  taxpayer during the taxable year.  To qualify for the credit, 
  1.13  the taxpayer's dairy herd must, over the taxable year: 
  1.14     (1) produce milk, delivered to a processing plant, that 
  1.15  averages a somatic cell count lower than 150,000; and 
  1.16     (2) maintains a rolling herd average milk production in 
  1.17  excess of 21,000 pounds. 
  1.18     Subd. 2.  [LIMITATION; CARRYOVER.] (a) The credit for the 
  1.19  taxable year is limited to the taxpayer's liability for tax 
  1.20  under section 290.01 or 290.02 for the taxable year, reduced by 
  1.21  the sum of the nonrefundable credits allowed under this chapter. 
  1.22     (b) If the amount of the credit for the taxable year 
  1.23  exceeds the limitation under paragraph (a), the excess is a 
  1.24  carryover to each of the five succeeding taxable years.  The 
  1.25  entire amount of the excess unused credit for the taxable year 
  1.26  must be carried first to the earliest of the taxable years to 
  2.1   which the credit may be carried and then to each successive year 
  2.2   to which the credit may be carried.  The amount of the unused 
  2.3   credit, which may be added under this paragraph, must not exceed 
  2.4   the taxpayer's liability for tax less the quality milk credit 
  2.5   for the taxable year. 
  2.6      [EFFECTIVE DATE.] This section is effective for milk 
  2.7   produced after June 30, 2003, in taxable years beginning after 
  2.8   December 31, 2002.