MN HF3930

Increases the maximum Social Security benefits subtraction for married taxpayers filing jointly and surviving spouses from $5,150 to $7,000, and increases the income threshold at which the subtraction begins to phase out from $78,180 to $81,630.

Increases the maximum Social Security benefits subtraction for single or head-of-household taxpayers from $4,020 to $5,460, and increases the phase-out threshold from $61,080 to $63,770.

Defines "qualified public pension benefits" to include amounts received by basic members of specified Minnesota pension plans, federal retirement systems, or reciprocal public retirement systems in other states, provided the recipient is not simultaneously receiving Social Security benefits for the same service.

Allows a subtraction for "qualified retirement benefits," defined as the combined total of taxable Social Security benefits and qualified public pension benefits.

Changes the statutory year for inflation adjustments from 2019 to 2022, with the provision effective for taxable years beginning after December 31, 2021.