Minnesota SF3311 proposes a contingent increase in the corporate franchise tax rate.

Minnesota SF3311 amends the corporate franchise tax rate to include a contingent increase. For taxable years starting after December 31, 2024, the tax rate will be the greater of 9.8 percent or a rate calculated based on a percentage decrease in the Internal Revenue Code rate. The commissioner must calculate this percentage decrease and apply it to the tax rate, rounding to the nearest twentieth of a percent. This change ensures the tax rate adjusts in response to federal tax code modifications.

Minnesota SF3311 proposes a contingent increase in the corporate franchise tax rate.

Minnesota SF3311 amends the corporate franchise tax rate to include a contingent increase. For taxable years starting after December 31, 2024, the tax rate will be the greater of 9.8 percent or a rate calculated based on a percentage decrease in the Internal Revenue Code rate. The commissioner must calculate this percentage decrease and apply it to the tax rate, rounding to the nearest twentieth of a percent. This change ensures the tax rate adjusts in response to federal tax code modifications.