MN HF2998

Establishes the "Endow Minnesota Program Act" to increase philanthropic activity by providing capital to community foundations and citizen groups establishing endowment funds to address community needs in Minnesota.

Authorizes the Commissioner of Employment and Economic Development to select a lead philanthropic entity to award matching grants up to $25,000 per foundation or organization, with recipients required to demonstrate dollar-for-dollar funding matches.

Provides a 25 percent income tax credit against chapters 290 and 297I taxes for endowment gifts made to qualified community foundations for permanent endowment funds benefiting charitable causes in Minnesota, effective for taxable years beginning after December 31, 2011.

Limits aggregate tax credits to an amount specified in the bill, with a maximum of 5 percent per taxpayer and 10 percent of credits reserved annually for endowment gifts of $30,000 or less.

Allows tax credits to be passed through to partners, members, shareholders, or owners of business entities pro rata, with unused credits carrying forward up to 15 succeeding taxable years.