HF 2557

Introduction - 91st Legislature (2019 - 2020)

Posted on 04/04/2019 09:29 a.m.

A bill for an act
relating to taxation; estate; adding a new top bracket in the rate structure; amending
Minnesota Statutes 2018, section 291.03, subdivision 1.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:

Section 1.

Minnesota Statutes 2018, section 291.03, subdivision 1, is amended to read:

Subdivision 1.

Tax amount.

The tax imposed must be computed by applying to the
Minnesota taxable estate the following schedule of rates and then the resulting amount
multiplied by a fraction, not greater than one, the numerator of which is the value of the
Minnesota gross estate plus the value of gifts under section 291.016, subdivision 2, clause
(3), with a Minnesota situs, and the denominator of which is the federal gross estate plus
the value of gifts under section 291.016, subdivision 2, clause (3):

(a) deleted text begin For estates of decedents dying in 2017:
deleted text end

deleted text begin Amount of Minnesota Taxable Estate deleted text end	deleted text begin Rate of Tax deleted text end
deleted text begin Not over $5,100,000 deleted text end	deleted text begin 12 percent deleted text end
deleted text begin Over $5,100,000 but not over $7,100,000 deleted text end	deleted text begin $612,000 plus 12.8 percent of the excess over $5,100,000 deleted text end
deleted text begin Over $7,100,000 but not over $8,100,000 deleted text end	deleted text begin $868,000 plus 13.6 percent of the excess over $7,100,000 deleted text end
deleted text begin Over $8,100,000 but not over $9,100,000 deleted text end	deleted text begin $1,004,000 plus 14.4 percent of the excess over $8,100,000 deleted text end
deleted text begin Over $9,100,000 but not over $10,100,000 deleted text end	deleted text begin $1,148,000 plus 15.2 percent of the excess over $9,100,000 deleted text end
deleted text begin Over $10,100,000 deleted text end	deleted text begin $1,300,000 plus 16 percent of the excess over $10,100,000 deleted text end

deleted text begin (b) deleted text end For estates of decedents dying in 2018 and deleted text begin thereafter deleted text end new text begin 2019 new text end :

Amount of Minnesota Taxable Estate	Rate of Tax
Not over $7,100,000	13 percent
Over $7,100,000 but not over $8,100,000	$923,000 plus 13.6 percent of the excess over $7,100,000
Over $8,100,000 but not over $9,100,000	$1,059,000 plus 14.4 percent of the excess over $8,100,000
Over $9,100,000 but not over $10,100,000	$1,203,000 plus 15.2 percent of the excess over $9,100,000
Over $10,100,000	$1,355,000 plus 16 percent of the excess over $10,100,000

new text begin (b) For estates of decedents dying in 2020 and thereafter:
new text end

new text begin Amount of Minnesota Taxable Estate new text end	new text begin Rate of Tax new text end
new text begin Not over $7,100,000 new text end	new text begin 13 percent new text end
new text begin Over $7,100,000 but not over $8,100,000 new text end	new text begin $923,000 plus 13.6 percent of the excess over $7,100,000 new text end
new text begin Over $8,100,000 but not over $9,100,000 new text end	new text begin $1,059,000 plus 14.4 percent of the excess over $8,100,000 new text end
new text begin Over $9,100,000 but not over $10,100,000 new text end	new text begin $1,203,000 plus 15.2 percent of the excess over $9,100,000 new text end
new text begin Over $10,100,000 but not over $11,100,000 new text end	new text begin $1,355,000 plus 16 percent of the excess over $10,100,000 new text end
new text begin Over $11,100,000 new text end	new text begin $1,515,000 plus 16.8 percent of the excess over $11,100,000 new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective for estates of decedents dying in 2020
and thereafter.
new text end