STATE OF MINNESOTA THIRTY FIRST MEETING
HOUSE OF REPRESENTATIVES NINETY-THIRD SESSION
TAXES COMMITTEE MINUTES
Representative Aisha Gomez, Chair of the Committee on Taxes, called the meeting to order at 9:25 AM on April 19, 2023 in Room 5 of the State Office Building.
The Committee Legislative Assistant noted the roll.
Members present:
GOMEZ, Aisha, Chair
NORRIS, Matt, Vice Chair
DAVIDS, Greg, Minority Lead
AGBAJE, Esther
ANDERSON, Patti
BRAND, Jeff
ELKINS, Steve
HOWARD, Michael
JOY, Jim
KOZNICK, Jon
LEE, Liz
LISLEGARD, Dave
OLSON, Bjorn
OLSON, Liz
PINTO, Dave
ROBBINS, Kristin
SMITH, Andy
SWEDZINSKI, Chris
WITTE, Jeff
WIENER, Mike
YOUAKIM, Cheryl
A quorum was present.
Vice Chair Norris moved the minutes of April 18, 2023. THE MOTION PREVAILED.
HF1938 (Gomez) Individual income and corporate franchise taxes, sales and use taxes, property taxes, local government aids, and other miscellaneous taxes and tax provisions modified; income tax additions, subtractions, and credits modified; taxes on capital gains modified; child tax credit proposed; advance on payment and one-time refundable tax credit proposed; cannabis-related sales and use tax provisions modified; sales tax exemption for entities proposed; eligibility for property tax programs modified; formula modified and definitions for calculation of local government aids added; new forms of local government aids proposed; and money appropriated.
Chair Gomez moved that HF1938 be referred to the Committee on Ways and Means.
Chair Gomez moved the A23-0111 amendment. THE MOTION PREVAILED. THE AMENDMENT WAS ADOPTED.
Chair Gomez moved the H1938A13 amendment. THE MOTION PREVAILED. THE AMENDMENT WAS ADOPTED.
Representative Anderson moved the H1938A3 amendment.
Representative Anderson requested a roll call on the H1938A3 amendment.
The clerk took the roll:
AYES
Anderson
Joy
Koznick
Olson, B.
Robbins
Swedzinski
Wiener
Witte
NAYS
Gomez
Norris
Agbaje
Brand
Elkins
Howard
Lee
Lislegard
Olson, L.
Pinto
Smith
Youakim
EXCUSED
Davids
There being 8 ayes, 12 nays, and 1 member excused. THE MOTION DID NOT PREVAIL.
Representative Robbins moved the H1938A4 amendment.
Pursuant to House rule 4.03 (h), relating to Ways and Means Committee; Budget Resolution; Effect on Expenditure and Revenue Bills, Vice Chair Norris ruled the H1938A4 amendment out of order.
Representative Robbins moved to reconsider the H1938A4 amendment. THE MOTION DID NOT PREVAIL.
Representative Robbins moved an oral amendment to the A23-0111 amendment to HF1938, as amended, as below:
• Page 25, delete section 19 and insert:
“Sec. …. Minnesota Statues 2022, section 290.0132, subdivision 26, is amended to read:
Subd. 26. Social Security Benefits. (a) The amount of qualified retirement benefits is
allowed as a subtraction.
(c) For the purposes of this section, “qualified public pension income” means any
amount received:
(1) by a basic member of any pension plan governed by chapter 3A, 352B, 353,
354, or 354A, or the basic member’s survivor, provided that the annuity or benefit is based on service for which the member or survivor is not also receiving Social Security benefits;
(2) from any retirement system administered by the federal government that is
based on service for which the recipient or the recipient’s survivor is not also receiving Social Security benefits; or
(3) from a public retirement system of or created by another state or any of its
political subdivisions if the income tax laws of the other state permit a similar deduction or exemption or a reciprocal deduction or exemption of a retirement or pension benefit received from a public retirement system or created by this state or any political subdivision of this state.
(d) For the purposes of this section, “qualified retirement benefits” means the sum of
Social Security benefits and qualified public pension income.
EFFECTIVE DATE. This section is effective for taxable years beginning December 31, 2026.”
• Page 26, delete section 21
• Renumber the sections in sequence and correct the internal references
• Amend the title accordingly
Representative Robbins requested a roll call on the oral amendment to the A23-0111 amendment to HF1938, as amended.
The clerk took the roll:
AYES
Anderson
Joy
Koznick
Olson, B.
Robbins
Swedzinski
Wiener
Witte
NAYS
Gomez
Norris
Agbaje
Brand
Elkins
Howard
Lee
Lislegard
Olson, L.
Pinto
Smith
Youakim
EXCUSED
Davids
There being 8 ayes, 12 nays, and 1 member excused. THE AMENDMENT WAS NOT ADOPTED.
Representative Olson, B. moved that HF106 be included as an amendment to HF 1938, as amended.
Representative Olson, B. withdrew the motion that HF106 be included as an amendment to HF 1938, as amended.
Chair Gomez renewed the motion that HF1938, as amended, be referred to the Committee on Ways and Means.
Representative Swedzinski requested a roll call on the motion that HF1938, as amended, be referred to the Committee on Ways and Means.
The clerk took the roll:
AYES
Gomez
Norris
Agbaje
Brand
Elkins
Howard
Lee
Lislegard
Olson, L.
Pinto
Smith
Youakim
NAYS
Anderson
Joy
Koznick
Olson, B.
Robbins
Swedzinski
Wiener
Witte
EXCUSED
Davids
There being 12 ayes, 8 nays, and 1 member excused. THE MOTION PREVAILED.
The meeting adjourned at 11:16 AM.
____________________________________
Representative Aisha Gomez, Chair
_____________________________________
Lauren Sabes, Committee Legislative Assistant