Minnesota SF1237 modifies the research credit for income and corporate franchise tax by introducing an alternative simplified credit election.

Minnesota SF1237 amends the state's income and corporate franchise tax laws to modify the research credit. It introduces an alternative simplified credit election, allowing corporations, partnerships, and other qualifying taxpayers to calculate their base amount using either their average annual gross receipts or 50 percent of their average qualified Minnesota research expenses. This election must be made by the time of filing the return for the taxable year, including extensions, and is irrevocable for that year.

Minnesota SF1237 modifies the research credit for income and corporate franchise tax by introducing an alternative simplified credit election.

Minnesota SF1237 amends the state's income and corporate franchise tax laws to modify the research credit. It introduces an alternative simplified credit election, allowing corporations, partnerships, and other qualifying taxpayers to calculate their base amount using either their average annual gross receipts or 50 percent of their average qualified Minnesota research expenses. This election must be made by the time of filing the return for the taxable year, including extensions, and is irrevocable for that year.