HF 3560

as introduced - 89th Legislature (2015 - 2016) Posted on 03/29/2016 12:42pm

A bill for an act
relating to taxation; individual income; allowing a citizenship credit;
appropriating money; proposing coding for new law in Minnesota Statutes,
chapter 290.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:

Section 1.

new text begin [290.0682] CITIZENSHIP CREDIT.
new text end

new text begin Subdivision 1. new text end

new text begin Credit allowed. new text end

new text begin An individual is allowed a credit against the tax
imposed by this chapter equal to qualified citizenship expenses paid for a qualified citizen
applicant. The maximum credit per qualified citizen applicant is $700.
new text end

new text begin Subd. 2. new text end

new text begin Limitations on credit. new text end

new text begin (a) The credit is not allowed if the sum of an
individual's income and the individual's spouse's income exceeds 200 percent of the
federal poverty guideline.
new text end

new text begin (b) For an individual who is not a Minnesota resident for the entire year, the credit
must be apportioned using the percentage calculated in section 290.06, subdivision 2c,
paragraph (e).
new text end

new text begin (c) The credit is not allowed to an individual who is eligible to be claimed as a
dependent.
new text end

new text begin Subd. 3. new text end

new text begin Definitions. new text end

new text begin (a) For purposes of this section, the following terms have
the meanings given.
new text end

new text begin (b) "Dependent" has the meaning given in sections 151 and 152 of the Internal
Revenue Code.
new text end

new text begin (c) "Federal poverty guideline" means the guideline most recently published in the
Federal Register, adjusted for family size.
new text end

new text begin (d) "Income" has the meaning given in section 290.067, subdivision 2a.
new text end

new text begin (e) "Qualified citizenship expenses" means filing fees, including both application and
biometric fingerprint fees, paid to the United States Citizenship and Immigration Services
in connection with an N-400 naturalization application for a qualified citizenship applicant.
new text end

new text begin (f) "Qualified citizenship applicant" means the individual, the individual's spouse,
or a dependent of the individual.
new text end

new text begin Subd. 4. new text end

new text begin Credit refundable. new text end

new text begin If the amount of credit that the claimant is eligible to
receive under this section exceeds the claimant's liability for tax under this chapter, the
commissioner of revenue shall refund the excess to the claimant.
new text end

new text begin Subd. 5. new text end

new text begin Appropriation. new text end

new text begin An amount sufficient to pay the refunds required by this
section is appropriated from the general fund to the commissioner of revenue.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective for taxable years beginning after
December 31, 2015.
new text end

Sec. 2. new text begin PURPOSE STATEMENT; TAX EXPENDITURES.
new text end

new text begin Subdivision 1. new text end

new text begin Authority. new text end

new text begin This section is intended to fulfill the requirement under
Minnesota Statutes, section 3.192, that a bill creating, renewing, or continuing a tax
expenditure provide a purpose for the tax expenditure and a standard or goal against
which its effectiveness may be measured.
new text end

new text begin Subd. 2. new text end

new text begin Citizenship credit. new text end

new text begin The purpose of this tax credit is to alleviate the
burdensome cost of citizenship for lower-income applicants. The effectiveness of this
tax credit will be measured by comparing the number of individuals applying for and
becoming citizens after enactment of the credit with the number who did so in the year
before the credit is first allowed.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective the day following final enactment.
new text end