Minnesota Conforms to Federal OBBBA With Exceptions

The Minnesota Governor signed a law that includes: 1) conforming to the Internal Revenue Code as amended through May 1, 2026, adopting most of the income tax changes included in Public Law 119-21, also known as the One Big Beautiful Bill Act (OBBBA), with certain exceptions; 2) making changes to the sustainable aviation fuel income tax credit, including modifying the definition of “biomass” to prohibit certain agricultural feedstocks, and allowing for gaseous carbon oxides and hydrogen; 3) extending the expiration of the pass-through entity tax for tax years 2026 and 2027; 4) requiring the Department of Revenue to establish a ...