MN HF1141

Establishes a teleworking tax credit for employers subject to income tax, allowing credits of 100%, 75%, or 25% of eligible telework expenses (up to $1,200 per employee per year) based on frequency of required teleworking (15+, 10+, or 5+ days per month respectively).

Defines eligible telework expenses as costs to purchase computers, hardware, software, modems, telecommunications equipment, high-speed internet equipment, and security software, excluding replacement costs and expenses claimed under other tax provisions.

Provides an additional tax credit up to $20,000 per employer for costs of conducting a telework assessment to develop formal telework program policies and procedures.

Requires employers to apply for credit approval between September 1 and October 31 of the year before the credit is earned, with commissioner notification of approved amounts by December 31.

Exempts telework expenses from sales tax and establishes that credits cannot exceed an employer's tax liability for any year, with no carryforward of unused credits.