House Taxes Committee hears House File 4 to send surplus above 105% back to taxpayers; amendment adopted, bill laid over

Saint Paul — Representative Johnson presented House File 4 to the Minnesota House Taxes Committee, proposing a constitutional amendment that would require projected general‑fund revenues exceeding 105% of projected expenditures to be transferred into a new “tax relief” account for property‑ or income‑tax refunds or one‑time tax reductions.

The bill, as amended, would compare the legislature’s chosen forecast (either of the two most recent official forecasts) and transfer projected revenues that exceed 105 percent of projected expenditures into the account. The legislature would then be required to appropriate money from the account for tax refunds or to offset the cost of one‑time tax reductions; refunds would be limited to taxpayers’ existing tax liability.

The matter drew sharply divided testimony. Rhianna Lee, Legislative and Coalitions Director for the Americans for Prosperity Minnesota chapter, told the committee, “Minnesotans, not government officials, are the…