Minnesota signed the 2024 Tax Bill into law on May 24, 2024. The tax bill made several updates to the state tax code including changes to the 2023 standard deduction and corporate Net Operating Loss limit.
How was the standard deduction effected?
Minnesota's previous legislation had incorrectly used the 2019 standard deduction amounts for the 2023 tax year. The tax bill recently signed into law fixes the 2023 standard deduction amounts so they are inflation-adjusted. If you have already filed your 2023 MN state tax return, you do not need to take any action.
How was the Corporate Net Operating Loss Limit effected?
Minnesota's recent legislation retroactively changed the the effective date for the 70% Net Operating Loss deduction limitation. For more information regarding this limitation, please click here.