MN HF3296

Allows a subtraction from federal taxable income for shareholders of S corporations and partners of partnerships equal to 50.8 percent of their total undistributed Minnesota net partnership and S corporation income.

Subtraction applies to the extent the income is included in federal taxable income and is effective for taxable years beginning after December 31, 2014.

Amends Minnesota Statutes 2013 Supplement, section 290.01, subdivision 19b, by adding a new clause (19) to the list of allowable subtractions.