SF 2357

as introduced - 85th Legislature (2007 - 2008) Posted on 12/15/2009 12:00am

A bill for an act
relating to constitutional amendments; proposing an amendment to the Minnesota
Constitution, article XI; increasing the income tax rate for certain income
brackets and dedicating the receipts for property tax relief; amending Minnesota
Statutes 2006, section 290.62.

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

Section 1. new text begin CONSTITUTIONAL AMENDMENT.
new text end

new text begin An amendment to the Minnesota Constitution is proposed to the people. If the
amendment is adopted, a section will be added to article XI, to read:
new text end

new text begin Sec. 15. new text end

new text begin Beginning July 1, 2009, until June 30, 2034, the income tax rate is increased
by 1.15 percentage points on (1) the net taxable income over $400,000 for married
individuals filing joint returns and surviving spouses; (2) the net taxable income over
$200,000 for married individuals filing separate returns, estates, and trusts; (3) the net
taxable income over $226,000 for unmarried individuals; and (4) the net taxable income
over $341,000 for unmarried individuals qualifying as heads of household. The dollar
amounts for this rate bracket shall be adjusted for inflation as provided by law. Receipts
from the increase, plus penalties and interest and reduced by any refunds, are dedicated to
property tax relief for the benefit of Minnesotans. The money dedicated under this section
shall be appropriated by law. The dedicated money under this section must supplement
traditional sources of funding for these purposes and may not be used as a substitute.
new text end

Sec. 2. new text begin SUBMISSION TO VOTERS.
new text end

new text begin The proposed amendment must be submitted to the people in the 2008 general
election. The question submitted shall be:
new text end

new text begin "Shall the Minnesota Constitution be amended to provide funding beginning July 1,
2009, for property tax relief by increasing until the year 2034 the individual income tax
rate by 1.15 percentage points on (1) the net taxable income over $400,000 for married
individuals filing joint returns and surviving spouses; (2) the net taxable income over
$200,000 for married individuals filing separate returns, estates, and trusts; (3) the net
taxable income over $226,000 for unmarried individuals; and (4) the net taxable income
over $341,000 for unmarried individuals qualifying as heads of household, as adjusted
for inflation?
new text end

new text begin Yes ....... new text end

new text begin No ......." new text end

Sec. 3.

Minnesota Statutes 2006, section 290.62, is amended to read:

290.62 DISTRIBUTION OF REVENUES.

new text begin Except as provided by the Minnesota Constitution, article XI, section 15, new text end all
revenues derived from the taxes, interest, penalties and charges under this chapter shall,
notwithstanding any other provisions of law, be paid into the state treasury and credited to
the general fund, and be distributed as follows:

(1) There shall, notwithstanding any other provision of the law, be paid from this
general fund all refunds of taxes erroneously collected from taxpayers under this chapter
as provided herein;

(2) There is hereby appropriated to the persons entitled to payment herein, from
the fund or account in the state treasury to which the money was credited, an amount
sufficient to make the refund and payment.