MN SF2605

Establishes the "Endow Minnesota Program Act" to encourage philanthropic activity and investment in community foundations through matching grants and tax credits.

Commissioner of Employment and Economic Development selects a lead philanthropic entity to award grants up to $25,000 per foundation or organization (higher for multi-county/regional approaches), with a dollar-for-dollar funding match requirement and limit of three grants per county annually.

Provides a 25% state income tax credit against taxes under chapters 290 and 297I for endowment gifts made to qualified community foundations, with credits limited to 5% of aggregate credits per taxpayer and 10% of aggregate credits reserved for gifts of $30,000 or less.

Lead philanthropic entity must be a nonprofit 501(c)(3) statewide organization with at least 40 members including qualified community foundations, and cannot use more than 5% of state funds for administrative purposes.

Tax credits are effective for taxable years beginning after December 31, 2011, and allow carryover of unused credits up to 15 succeeding taxable years.