HF 4168

as introduced - 81st Legislature (1999 - 2000) Posted on 12/15/2009 12:00am

  1.1                          A bill for an act 
  1.2             relating to taxation; income tax; requiring a plan for 
  1.3             rate reductions to limit growth in revenues; proposing 
  1.4             coding for new law in Minnesota Statutes, chapter 16A. 
  1.5   BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 
  1.6      Section 1.  [16A.1523] [INDIVIDUAL INCOME TAX LIMITATION.] 
  1.7      Subdivision 1.  [FORECAST.] If, on the basis of a forecast 
  1.8   of general fund revenues and expenditures in November of an 
  1.9   even-numbered year or February of an odd-numbered year, the 
  1.10  commissioner projects that individual income tax revenues in the 
  1.11  biennium following the current biennium will exceed individual 
  1.12  income tax revenues in the current biennium, as adjusted for 
  1.13  estimates of inflation and population growth, the commissioner 
  1.14  shall designate the excess individual income tax revenues as 
  1.15  available for income tax rate reductions. 
  1.16     Subd. 2.  [PLAN.] If the commissioner designates an amount 
  1.17  for income tax rate reductions in either forecast, the governor 
  1.18  shall present a plan to the legislature for income tax rate 
  1.19  reductions.  The plan must specify the reductions to the rates 
  1.20  specified in sections 290.06, subdivision 1, and 290.091, 
  1.21  subdivision 1, necessary to reduce individual income tax 
  1.22  revenues in the biennium following the current biennium to an 
  1.23  amount equal to individual income tax revenues in the current 
  1.24  biennium, as adjusted for estimates of inflation and population 
  1.25  growth.  The plan must also specify conforming changes to 
  2.1   sections 290.0675, and 290.091, subdivisions 2 and 6.  The plan 
  2.2   must propose income tax rate reductions to begin no later than 
  2.3   the first calendar year that begins after the first day of the 
  2.4   next fiscal year. 
  2.5      Sec. 2.  [EFFECTIVE DATE.] 
  2.6      Section 1 is effective the day following final enactment.