1.1 	A bill for an act
1.2 	relating to taxation; income; property; providing an income tax credit for bovine 
1.3 	testing in certain parts of the state; appropriating money;amending Minnesota 
1.4 	Statutes 2008, sections 273.1393; 290.06, by adding a subdivision; repealing 
1.5 	Minnesota Statutes 2008, section 273.113.
1.6 	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:

1.7 	Section 1. Minnesota Statutes 2008, section 273.1393, is amended to read:
1.8 	273.1393 COMPUTATION OF NET PROPERTY TAXES.
1.9 	Notwithstanding any other provisions to the contrary, "net" property taxes are 
1.10 	determined by subtracting the credits in the order listed from the gross tax:
1.11 	(1) disaster credit as provided in sections 273.1231 to 273.1235; 
1.12 	(2) powerline credit as provided in section 273.42; 
1.13 	(3) agricultural preserves credit as provided in section 473H.10; 
1.14 	(4) enterprise zone credit as provided in section 469.171; 
1.15 	(5) disparity reduction credit;
1.16 	(6) conservation tax credit as provided in section 273.119; 
1.17 	(7) homestead and agricultural credits as provided in section 273.1384; 
1.18 	(8) taconite homestead credit as provided in section 273.135; and
1.19 	(9) supplemental homestead credit as provided in section 273.1391; and.
1.20 	(10) the bovine tuberculosis zone credit, as provided in section 273.113.
1.21 	The combination of all property tax credits must not exceed the gross tax amount.

1.22 	EFFECTIVE DATE. This section is effective for property taxes payable in 2010 
1.23 	and thereafter.

2.1 	Sec. 2. Minnesota Statutes 2008, section 290.06, is amended by adding a subdivision 
2.2 	to read:
2.3 		Subd. 36.Bovine tuberculosis credit; split state status. (a) A taxpayer who owns 
2.4 	a herd of animals required to be tested for bovine tuberculosis and located in the modified 
2.5 	accredited zone established as part of Minnesota's split state status as approved by the 
2.6 	United States Department of Agriculture and effective October 10, 2008, is eligible for a 
2.7 	credit against the tax due under this chapter as provided under this subdivision. The credit 
2.8 	is equal to $25 per animal multiplied by the largest number of animals tested as part of 
2.9 	any whole-herd test of the taxpayer's animals occurring during the years 2006 through 
2.10 	2008 as reported by the Board of Animal Health. For purposes of this credit, "animals" 
2.11 	include cattle, bison, and goats.
2.12 	(b) If the amount of the credit which the taxpayer is eligible to receive under this 
2.13 	subdivision exceeds the taxpayer's liability under this chapter, the commissioner of 
2.14 	revenue shall refund the excess to the taxpayer.
2.15 	(c) The amount necessary to pay claims for the refund provided under this 
2.16 	subdivision is appropriated from the general fund to the commissioner of revenue.
2.17 	(d) The credit provided under this subdivision ceases to be available beginning in 
2.18 	the taxable year following the taxable year when the Board of Animal Health certifies 
2.19 	that the state is free of bovine tuberculosis.
2.20 	(e) The credit under this subdivision is in addition to the credit allowed under 
2.21 	subdivision 33.

2.22 	EFFECTIVE DATE. This section is effective for taxable years beginning after 
2.23 	December 31, 2008.

2.24 	Sec. 3.  REPEALER.
 2.25 	Minnesota Statutes 2008, section 273.113, is repealed.

2.26 	EFFECTIVE DATE. This section is effective for property taxes payable in 2010 
2.27 	and thereafter.