S.F. No. 2493 Summary

• Establishes a refundable Minnesota child credit of $1,800 for each young child (under age 4) and $1,200 for each older child (ages 4-17)
• Phases out the credit by 10% of adjusted gross income exceeding $125,000 for married joint filers, $100,000 for head of household filers, and $62,500 for all other filers
• Makes the credit refundable, requiring the commissioner to refund any excess credit amount above tax liability, with funding appropriated from the general fund
• Allows taxpayers to elect to receive six periodic advance payments during the calendar year by January 1, 2024, with distributions made via direct deposit, mail, or other approved methods
• Applies to taxable years beginning after December 31, 2022, with advance payments reducing the annual credit claimed and excess advance payments increasing tax liability