MN HF5475

Amends Minnesota Statutes section 290.05 to add business tax exemptions effective for taxable years beginning after December 31, 2023.

Corporations receiving Paycheck Protection Program loans are exempt from corporate franchise tax once cumulative taxes paid equal or exceed the aggregate amount of PPP loans received; all other corporations are immediately exempt.

Trade or business income of taxpayers subject to individual income tax is exempt once cumulative taxes paid on that income equal or exceed aggregate PPP loans received; all other taxpayers' trade or business income is immediately exempt.

Defines "trade or business income" by reference to specific Internal Revenue Code sections with specified additions and subtractions allocable to Minnesota.

Commissioner of revenue may require documentation necessary to administer the exemptions.