Section

Provision

1

Strikes language no longer necessary with the repeal of the qualified small business and farm property subtractions in section 3.
 

2

Strikes the amounts of the Minnesota taxable estate brackets and corresponding tax rates.  For estates of decedents dying in 2015 and thereafter, the first $5 million of the Minnesota taxable estate would not be subject to tax.  The value of the estate over $5 million would be taxed at 16 percent. 
 

3

Repeals various provisions relating to the qualified small business and qualified farm property subtractions.  Effective for decedents dying in 2015 and after.  The repealed provisions include:

• Filing requirements for recapture tax returns and returns by qualified heirs;

• Due dates for recapture tax returns and payment;

• The qualified small business and qualified farm property subtractions, which are no longer applicable given the proposed $5 million general exemption; and

• The recapture tax that applies if a qualified heir disposes of qualified small business or farm property or the property otherwise ceases to qualify for the subtraction prior to the end of the three-year period after the decedent’s death.