This year the Legislature has established a Tax Expenditure Review Commission to review Minnesota’s tax expenditures and evaluate their effectiveness and fiscal impact to the state.
Senator Ann Rest (DFL-New Hope) was appointed by DFL Senate Leader Melisa López Franzen to serve on the commission. Senator Rest is the ranking Senator DFL member for the Senate Tax Committee.
“This commission is our opportunity to continue being fiscally responsible by having our tax expenditures reviewed,” said Senator Rest. “There are more than 300 such expenditures written into Minnesota law, many of which have not been revisited for years. Keep in mind that tax expenditures are tax relief for taxpayers.”
To improve fiscal responsibility within Minnesota’s state budget, the new Tax Expenditure Review Commission will hold public hearings on select expenditures each year and issue a report by December 1, beginning in 2022. In addition, all new legislation establishing new tax expenditures must sunset after eight years.
A list of Minnesota’s current tax expenditures may be found in the Tax Expenditure Budget Report at: www.revenue.state.mn.us/tax-expenditure-reports.