250,000 Minnesotans to benefit from fairer, simpler taxes
February 20, 2013
Students, teachers, and seniors will also benefit from tax relief
ST. PAUL, MN – Today, Governor Mark Dayton signed legislation (HF6/SF119) that will extend key tax benefits for 250,000 teachers, college students, homeowners, businesses, senior citizens, and other Minnesotans. The bill, authored by state Rep. Ann Lenczewski and state Sen. Rod Skoe, will also make it easier for Minnesotans to claim these benefits by eliminating time-consuming and confusing paperwork.
“As Minnesotans file their income taxes over the next several months, this legislation will deliver the simplicity and relief they deserve,” said Governor Dayton. “I want to thank legislators from both parties for working together to quickly pass this important legislation. Hundreds of thousands of teachers, students, senior citizens, and middle-class families now stand to benefit as a result.”
According to the Minnesota Department of Revenue, over 250,000 Minnesotans will benefit from federal tax conformity, including:
Minnesota Teachers. The educator expense deduction will be extended, which will allow 55,000 teachers to continue claiming the $250 reimbursement for personal, out-of-pocket classroom expenses.
Minnesota Homeowners. Roughly 90,000 homeowners who claim an itemized deduction for mortgage insurance premiums will continue receiving those benefits.
Minnesota College Students. The higher education tuition deduction is extended, allowing 60,000 students or parents of students to receive up to $4,000 in tax relief based on the tuition and fees they pay for post-secondary education.
Senior Citizens. Minnesota seniors, who would otherwise need to recalculate the amount of social security benefits taxable in our state, will instead be allowed to transfer up to $100,000 from an IRA or Roth IRA directly to a qualified charity.
By signing the bill into law today, Governor Dayton has ensured that Minnesota taxpayers can claim these deductions without filing an additional form to complete their taxes.