Skip to main content Skip to office menu Skip to footer
Minnesota Legislature

Office of the Revisor of Statutes

SF 352

as introduced - 91st Legislature (2019 - 2020) Posted on 01/28/2019 02:39pm

KEY: stricken = removed, old language.
underscored = added, new language.

Current Version - as introduced

Line numbers 1.1 1.2 1.3 1.4 1.5
1.6 1.7 1.8 1.9 1.10 1.11 1.12 1.13 1.14 1.15 1.16 1.17 1.18 1.19 1.20 1.21 1.22 2.1 2.2 2.3 2.4 2.5 2.6 2.7 2.8 2.9 2.10 2.11 2.12 2.13 2.14 2.15 2.16 2.17 2.18 2.19 2.20 2.21 2.22 2.23 2.24
2.25 2.26

A bill for an act
relating to taxation; individual income; establishing a refundable health insurance
premium tax credit; 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 [290.0687] HEALTH INSURANCE PREMIUM CREDIT.
new text end

new text begin Subdivision 1. 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) "Applicable second lowest cost silver plan" has the meaning given in section
36B(b)(3)(B) of the Internal Revenue Code.
new text end

new text begin (c) "Eligible taxpayer" means a taxpayer who:
new text end

new text begin (1) has a modified adjusted gross income in excess of the income eligibility limit for the
MinnesotaCare program under section 256L.04;
new text end

new text begin (2) is not eligible for a premium tax credit under Code of Federal Regulations, title 26,
section 1.36B-2, due to:
new text end

new text begin (i) household income in excess of 400 percent of the federal poverty line for the taxpayer's
family size for the taxable year; or
new text end

new text begin (ii) access to an employer-sponsored health plan through a spouse's employer that is
deemed minimum essential coverage under Code of Federal Regulations, title 26, section
1.36B-2, where the annual premium the employee must pay for employee and dependent
coverage exceeds the required contribution percentage described in Code of Federal
Regulations, title 26, section 1.36B-2; and
new text end

new text begin (3) has purchased a qualified health plan through MNsure.
new text end

new text begin (d) "MNsure" has the meaning given in section 62V.02, subdivision 8.
new text end

new text begin (e) "Modified adjusted gross income" has the meaning given in Code of Federal
Regulations, title 26, section 1.36B-1.
new text end

new text begin (f) "Premium" means the amount paid for a health plan in a taxable year.
new text end

new text begin (g) "Qualified health plan" has the meaning given in section 62V.02, subdivision 11.
new text end

new text begin Subd. 2. new text end

new text begin Credit allowed. new text end

new text begin (a) An eligible taxpayer is allowed a credit against the tax
imposed by this chapter equal to:
new text end

new text begin (1) the annual premium cost of the applicable second lowest cost silver plan available
to the taxpayer within the rating area in which the taxpayer is a resident that covers the
taxpayer and the taxpayer's spouse or any dependent; minus
new text end

new text begin (2) 9.6 percent of the taxpayer's modified adjusted gross income in the taxable year.
new text end

new text begin (b) For a nonresident or part-year resident taxpayer, the credit must be allocated based
on the percentage calculated under section 290.06, subdivision 2c, paragraph (e).
new text end

new text begin Subd. 3. new text end

new text begin Credit refundable; method of claiming. new text end

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

new text begin (b) The commissioner, in consultation with the chief executive officer of MNsure, shall
prescribe the form and manner in which the credit must be claimed.
new text end

new text begin Subd. 4. new text end

new text begin Transfer and appropriation. new text end

new text begin Notwithstanding Laws 2017, First Special Session
chapter 6, article 5, section 10, any amount remaining on June 30, 2020, in the premium
security account under section 62E.25, subdivision 1, shall be transferred to the general
fund and an amount sufficient to pay the refunds under this section is appropriated to the
commissioner from the general fund.
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, 2018.
new text end