1.1.................... moves to amend H.F. No. 1493 as follows:
1.2Page 2, strike lines 27 to 29
1.3Page 2, delete lines 30 to 35 and insert:
1.4    "(2) which, regardless of the place where the corporation was incorporated:
1.5    (i) has the average of its property, payroll, and sales factors, as defined under
1.6section 290.191, within the 50 states of the United States and the District of Columbia
1.7of 20 percent or more; or
1.8    (ii) derives less than 80 percent of its income from foreign sources;
1.9    (3) that is incorporated in or has its principal place of business in a country that
1.10does not impose an income tax, or that imposes an income tax at a rate of 10 percent
1.11or less of the United States income tax rate on the income tax base of the corporation
1.12in the United States, if:
1.13    (i) 50 percent or more of the sales, purchases, or payments of income or expenses,
1.14exclusive of payments for intangible property, of the corporation are made directly or
1.15indirectly to one or more members of a group of corporations that are included on the
1.16combined report under section 290.17; or
1.17    (ii) the corporation does not conduct significant economic activity; or
1.18    (4) which is a foreign corporation, foreign partnership, or other foreign entity that
1.19has its income included in the federal taxable income, as defined in section 63 of the
1.20Internal Revenue Code, of an entity as defined in clause (1) or an individual who is a
1.21United States resident, as defined in section 865(g) of the Internal Revenue Code"
1.22Page 3, delete lines 1 to 8
1.23Page 3, line 9, delete the new language
1.24Page 17, after line 2, insert:

1.25    "Sec. 7. Minnesota Statutes 2012, section 290.01, is amended by adding a subdivision
1.26to read:
2.1    Subd. 33. Foreign source income. The term "foreign source income" or "income
2.2from foreign sources" means income from sources without the United States as defined in
2.3subtitle A, chapter 1, subchapter N, part 1, of the Internal Revenue Code.
2.4EFFECTIVE DATE.This section is effective for taxable years beginning after
2.5December 31, 2012."
2.6Page 30, delete section 19, and insert:

2.7    "Sec. 20. Minnesota Statutes 2012, section 290.0922, subdivision 1, is amended to read:
2.8    Subdivision 1. Imposition. (a) In addition to the tax imposed by this chapter without
2.9regard to this section, the franchise tax imposed on a corporation required to file under
2.10section 289A.08, subdivision 3, other than a corporation treated as an "S" corporation
2.11under section 290.9725 for the taxable year includes a tax equal to the following amounts:

2.12 2.13	If the sum of the corporation's Minnesota property, payrolls, and sales or receipts is:							the tax equals:
2.14			less than		$	500,000		$	0
2.15		$	500,000	to	$	999,999		$	100
2.16		$	1,000,000	to	$	4,999,999		$	300
2.17		$	5,000,000	to	$	9,999,999		$	1,000
2.18		$	10,000,000	to	$	19,999,999		$	2,000
2.19		$	20,000,000	or	more			$	5,000
2.20			less than		$	930,000		$	0
2.21		$	930,000	to	$	1,869,999		$	190
2.22		$	1,870,000	to	$	9,339,999		$	560
2.23		$	9,340,000	to	$	18,679,999		$	1,870
2.24		$	18,680,000	to	$	37,359,999		$	3,740
2.25		$	37,360,000	or	more			$	9,340

2.26    (b) A tax is imposed for each taxable year on a corporation required to file a return
2.27under section 289A.12, subdivision 3, that is treated as an "S" corporation under section
2.28290.9725 and on a partnership required to file a return under section 289A.12, subdivision
2.293 , other than a partnership that derives over 80 percent of its income from farming. The
2.30tax imposed under this paragraph is due on or before the due date of the return for the
2.31taxpayer due under section 289A.18, subdivision 1. The commissioner shall prescribe
2.32the return to be used for payment of this tax. The tax under this paragraph is equal to
2.33the following amounts:

2.34 2.35 2.36 2.37	If the sum of the S corporation's or partnership's Minnesota property, payrolls, and sales or receipts is:							the tax equals:
2.38			less than		$	500,000		$	0
2.39		$	500,000	to	$	999,999		$	100
3.1		$	1,000,000	to	$	4,999,999		$	300
3.2		$	5,000,000	to	$	9,999,999		$	1,000
3.3		$	10,000,000	to	$	19,999,999		$	2,000
3.4		$	20,000,000	or	more			$	5,000
3.5			less than		$	930,000		$	0
3.6		$	930,000	to	$	1,869,999		$	190
3.7		$	1,870,000	to	$	9,339,999		$	560
3.8		$	9,340,000	to	$	18,679,999		$	1,870
3.9		$	18,680,000	to	$	37,359,999		$	3,740
3.10		$	37,360,000	or	more			$	9,340

3.11    (c) The commissioner shall adjust the dollar amounts of both the tax and the property,
3.12payrolls, and sales or receipts thresholds in paragraphs (a) and (b) by the percentage
3.13determined pursuant to the provisions of section 1(f) of the Internal Revenue Code, except
3.14that in section 1(f)(3)(B) the word "2012" must be substituted for the word "1992." For
3.152014, the commissioner shall determine the percentage change from the 12 months ending
3.16on August 31, 2012, to the 12 months ending on August 31, 2013, and in each subsequent
3.17year, from the 12 months ending on August 31, 2012, to the 12 months ending on August
3.1831 of the year preceding the taxable year. The determination of the commissioner pursuant
3.19to this subdivision is not a "rule" subject to the Administrative Procedure Act contained in
3.20chapter 14. The tax amounts as adjusted must be rounded to the nearest $10 amount and
3.21the threshold amounts must be adjusted to the nearest $10,000 amount. For tax amounts
3.22that end in $5, the amount is rounded up to the nearest $10 amount and for the threshold
3.23amounts that end in $5,000, the amount is rounded up to the nearest $10,000.
3.24EFFECTIVE DATE.This section is effective for taxable years beginning after
3.25December 31, 2012."
3.26Page 33, lines 5 to 10, delete the new language
3.27Page 34, lines 4 to 8, delete the new language
3.28Page 42, after line 31, insert:

3.29    "Sec. 30. Laws 2010, First Special Session chapter 1, article 13, section 4, subdivision
3.301, as amended by Laws 2011, First Special Session chapter 7, article 6, section 22, is
3.31amended to read:
3.32    Subdivision 1. Political contribution credit. Notwithstanding the provisions of
3.33Minnesota Statutes, section 290.06, subdivision 23, or any other law to the contrary, the
3.34political contribution refund does not apply to contributions made after June 30, 2009, and
3.35before July 1, 2013 2015.
3.36EFFECTIVE DATE.This section is effective the day following final enactment."
4.1Page 43, after line 4, insert:

4.2    "Sec. 31. Minnesota Statutes 2012, section 469.190, subdivision 7, is amended to read:
4.3    Subd. 7. Collection. (a) The statutory or home rule charter city may agree with the
4.4commissioner of revenue that a tax imposed pursuant to this section shall be collected
4.5by the commissioner together with the tax imposed by chapter 297A, and subject to the
4.6same interest, penalties, and other rules and that its proceeds, less the cost of collection,
4.7shall be remitted to the city.
4.8    (b) If a tax imposed under this section or under a special law is not collected by
4.9the commissioner of revenue, the local government imposing the tax may only require
4.10an accommodations intermediary, as defined in section 297A.61, subdivision 47, to file
4.11and remit the tax related to accommodations intermediary services once in every calendar
4.12year. The local government must inform the tax intermediary of the date when the return
4.13and remittance is due.
4.14EFFECTIVE DATE.This section is effective for sales and purchases made after
4.15June 30, 2013."
4.16Renumber the sections in sequence and correct the internal references
4.17Amend the title accordingly