Senate Counsel, Research
and Fiscal Analysis
Minnesota Senate Bldg.
95 University Avenue W. Suite 3300
St. Paul, MN 55155
(651) 296-4791
Tom Bottern
Director
   Senate   
State of Minnesota
 
 
 
 
 
S.F. No. 2965 - Occupation Tax Credit
 
Author: Senator Justin D. Eichorn
 
Prepared By: Eric S. Silvia, Senate Counsel (651/296-1771)
 
Date: March 14, 2018



 

Sections 1 and 2 provide a credit against the occupation tax. The amount of the credit is equal to the lesser of:

  1. The amount of taconite production tax paid by the taxpayer during the taxable year;
  2. 15 cents per ton of the taconite produced in the taxable year; or
  3. The occupation tax liability for the taxable year after deduction of any carryover credit. If the amount of the credit exceeds the tax liability for the taxable year, the excess is carried over to each of the following 15 taxable years.

Effective for taxable years beginning after December 31, 2017.

Section 3 provides that distributions of the occupation tax from the general fund must be made without regard to the effect on occupation tax revenue resulting from the credit in this proposal.  Under current law, of the amount of the occupation tax apportioned to the general fund, an amount equal to: (i) 1.5 cents per ton is dedicated for environmental or economic development loans or grants in Carlton and Koochiching Counties; (ii) 2.5 cents per ton is dedicated to the Mining Environmental and Regulatory Account; and (iii) 6 cents per ton is dedicated to the Iron Range School Consolidation and Cooperatively Operated School Account.

Effective the day following final enactment.

 
Check on the status of this bill
 
Back to Senate Counsel and Research Bill Summaries page
 

 
This page is maintained by the Office of Senate Counsel, Research, and Fiscal Analysis for the Minnesota Senate.
 
Last review or update: 03/14/2018
 
If you see any errors on this page, please e-mail us at webmaster@senate.mn