For Individuals, Estates and Trusts This allows a credit against income tax equal to the adjusted net minimum tax reduced by the minimum tax credits allowable in a prior tax year. Special definitions apply to computation of tax involving part-time Minnesota residents, income from private activity bond revenue, and income from depletion. (Minn. Stat. § 290.091, subd. 6) • Greater Minnesota Job Expansion Program : Provides tax benefits to businesses located in Greater Minnesota that increase employment. Qualifying businesses that meet job-growth goals may receive sales tax refunds for purchases made during a seven-year period. Purchases and use of tangible personal property and taxable services made by a qualified business are eligible for a sales tax refund. The purchase must be made, and the property or service must be delivered, during the business' certification period. The purchase and use of construction materials and supplies for property improvements by a qualified business in Greater Minnesota are also eligible for a sales tax refund. This refund applies whether the purchases are made directly by the business or by a contractor. The maximum sales tax refund amount for each qualifying business is based on the application material submitted to DEED, subject to a maximum of $2 million annually and $10 million over the seven-year certification period. Eligibility To become certified to participate in the Greater Minnesota Job Expansion Program, a business must meet the following qualifications: • Increase employment at the business's facility by a minimum of two full time equivalent (FTE) employees or 10 percent of the current number of employees, whichever is greater, within three years. • Pay compensation, which includes wages and benefits not mandated by law, which on an annualized basis equals at least 120% of the federal poverty level for a family of four, to all employees at the business' facility. For 2021, these amounts are $31,800 per year or $15.29 per hour. • Be in operation for at least one year within a city, or a county if an agricultural processing facility, in Greater Minnesota, which generally excludes the seven-county metropolitan area (the counties of Anoka, Carver, Dakota, Hennepin, Ramsey, Scott, and Washington). • Meet prevailing wage guidelines at the business facility if a construction or improvement project is undertaken and if the business is awarded a sales tax refund. See more about prevailing wage requirements. • Does not sell goods or services primarily to local markets; the program is for businesses with sales and customers primarily outside Minnesota (in economic development parlance, the business is in a "traded sector"). In addition, the business must not be engaged primarily in: Retail sales to purchasers physically present at the business' facility Serving as a public utility Lobbying
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