MN HF4143

Amends Minnesota Statutes section 290.095, subdivision 3, to modify how corporations treat net operating loss deductions when income is apportioned under section 290.191.

Allows qualifying corporations to elect to use an apportionment ratio of one for the loss year instead of the standard apportionment ratio when determining the net operating loss deduction.

Defines a qualifying corporation as one that apportions income under section 290.191, has zero apportionment factors in both numerator and denominator, and has its principal address and place of business in Minnesota.

Maintains the 15-year carryover period for net operating losses and applies Internal Revenue Code sections 381, 382, and 384 regarding loss limitations in corporate acquisitions.

Effective for taxable years beginning after December 31, 2019.