1.1 	A bill for an act
1.2 	relating to taxation; income and corporate franchise; providing a onetime subtraction 
1.3 	for small business relief grants.
1.4 	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:

1.5 	Section 1. ONETIME INCOME TAX SUBTRACTION FOR SMALL BUSINESS 
1.6 	RELIEF GRANTS.
 1.7 		Subdivision 1.Subtraction allowed; individual filers. (a) For taxable years beginning 
1.8 	after December 31, 2019, and before January 1, 2021, the amount of any grant received by 
1.9 	a qualifying business is a subtraction.
1.10 	(b) For purposes of this subdivision:
1.11 	(1) "qualifying business" is a business that received a grant under Laws 2020, First 
1.12 	Special Session chapter 1, section 4; and
1.13 	(2) "subtraction" has the meaning provided in Minnesota Statutes, section 290.0132, 
1.14 	subdivision 1.
1.15 		Subd. 2.Subtraction allowed; corporate filers. (a) For taxable years beginning after 
1.16 	December 31, 2019, and before January 1, 2021, the amount of any grant received by a 
1.17 	qualifying business that is a corporation, other than an S corporation, is a subtraction.
1.18 	(b) For purposes of this subdivision:
1.19 	(1) "qualifying business" is a business that received a grant under Laws 2020, First 
1.20 	Special Session chapter 1, section 4; and
2.1 	(2) "subtraction" has the meaning provided in Minnesota Statutes, section 290.0134, 
2.2 	subdivision 1.

2.3 	EFFECTIVE DATE. This section is effective retroactively for taxable years beginning 
2.4 	after December 31, 2019, and before January 1, 2021.