MN HF312

Adds a new subtraction from Minnesota state income tax for individuals receiving military retirement pay computed under United States Code title 10, sections 1401-1414, 1447-1455, or 12732-12733, with a maximum of 20 years of service credited.

Implements a phased-in subtraction with specified dollar amounts: $500 per year for tax years 2015, $1,000 for tax years 2016, and $1,500 for tax years beginning after December 31, 2016.

Allows each spouse in a married couple filing jointly to claim the subtraction separately.

Specifies the subtraction is not limited to the amount of compensation received from pension or retirement pay.

Effective for taxable years beginning after December 31, 2014, and amends Minnesota Statutes sections 290.01 and 290.091 regarding income tax calculations.