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Minnesota Taxes and Tax Plans

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State tax policy that prioritizes everyday Minnesotans can expand economic opportunity, build thriving communities, and strengthen our economic future. However, tax policy can also widen income, wealth, and racial inequality if it primarily benefits those who are already doing well in today's economy.

We analyze individual tax proposals and full tax plans from the governor and legislative bodies, as well as the tax system overall, emphasizing the impact on everyday Minnesotans, tax fairness, and the ability of the tax system to raise the revenues needed to sustainably fund public investments that keep us moving forward as a state.

Research

August 2011

2011 budget decisions will undermine current recovery and hurt state's long-term economic success

After a nearly three-week government shutdown, Governor Dayton and the Legislature finally agreed to a budget for the state's FY 2012-13 biennium. The agreement delays $2.2 billion in payments to school districts, borrows $640 million through tobacco bonds, and reduces funding for vital public services by more than $2 billion. This analysis examines the impact of these decisions on K-12 education, health and human services, higher education, jobs and economic development, public safety, transportation, and taxes.

June 2011

A tale of two visions: Comparing Governor Dayton's and the Legislature's FY 2012-13 budgets

During the 2011 Legislative Session, Governor Dayton and the Legislature put forward two very different plans for the state's next two-year budget. Governor Dayton has proposed a balanced approach that combines spending cuts and revenue increases, while the Legislature's budget relies heavily on deep cuts to services. This analysis compares the details of the two plans for K-12 education, health and human services, higher education, jobs and economic development, public safety, transportation, and taxes.

May 2011

Constitutional revenue limits damaged Colorado's business climate, quality of life

In 1992, Colorado adopted TABOR, a constitutional amendment that strictly limits state spending. The state soon found itself falling behind in many economic performance and achievement indicators. In 2005, a bipartisan, broad-based coalition of state leaders and groups succeeded in temporarily suspending TABOR to allow Colorado's economy to recover. 

May 2011

Revenue-raising options to help close Minnesota's FY 2012-13 budget deficit

Minnesota faces a long, slow economic recovery, large state deficits and some very tough choices. Taking a balanced...

Taxes and Tax Plans Blog Posts

April 03, 2024

Joint state budget targets set for 2024 Legislative Session

Governor Tim Walz reached an agreement with House Speaker Melissa Hortman and Senate Majority Leader Erin Murphy on budget targets on March 22. The agreement outlines targets of $478 million in net general budget changes, including increased spending or reduced revenues, for FY 2024-25 and $63 million for FY 2026-27. The joint budget targets also set the parameters for final budget negotiations between the House, Senate, and the governor.

May 12, 2023

2023 tax conference committee weighs similarities, differences in House, Senate, Walz tax plans

This year, policymakers are considering transformational changes and long-overdue investments to make Minnesota a state...

April 17, 2023

Minnesota should continue targeted approach to Social Security income tax exemption

In the debate about whether Minnesota should change its tax treatment of Social Security benefits, we’ve sought to draw...

March 29, 2023

House Property Tax Division bill includes transformational changes to the Renters’ Credit

One of the highlights of last year’s tax discussion is moving forward again this session: a game-changing proposal to...