as introduced - 88th Legislature (2013 - 2014) Posted on 01/28/2013 01:45pm
A bill for an act
relating to taxation; income and corporate franchise; modifying the computation
of the research credit; amending Minnesota Statutes 2012, section 290.068,
subdivision 1.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:
Minnesota Statutes 2012, section 290.068, subdivision 1, is amended to read:
new text begin (a) new text end A corporation, partners in a partnership, or
shareholders in a corporation treated as an "S" corporation under section 290.9725 are
allowed a credit against the tax computed under this chapter for the taxable year equal to
new text begin the sum of the amount ofnew text end :
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(1) the tier one credit under paragraph (b); and
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(2) the tier two credit under paragraph (c).
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(b) The tier one credit equals ten percent of the first $2,000,000 of qualified research
expenses for the taxable year.
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deleted text begin (a) tendeleted text end new text begin (c) The tier two credit equals 2.5 new text end percent deleted text begin of the first $2,000,000deleted text end of the excess
(if any)new text begin for the taxable yearnew text end ofnew text begin qualified research expenses over the greater of:
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(1) the qualified research expenses deleted text begin for the taxable year, overdeleted text end new text begin used to calculate the
tier one credit; or
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(2) the base amountdeleted text begin ; and
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deleted text begin (b) 2.5 percent on all of such excess expenses over $2,000,000deleted text end .
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This section is effective for taxable years beginning after
December 31, 2012.
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