BillM223
Expert Alumni

State tax filing

I see the confusion here.

 

The Minnesota Society of CPAs says, "Minnesota is a static conformity state and has not adopted the changes Congress passed in 2020."

 

The State of Minnesota says:

"

Will Minnesota conform to federal tax law changes enacted after December 31, 2018?We continue to mon...

"

 

What these two statements mean is that Minnesota adopted conformance with federal law at a certain point in time, and if the feds change the law after that point, then Minnesota has to take explicit steps (pass new legislation) to adopt the new federal changes. The Minnesota website does not mention any updates that apply to this issue.

 

Minnesota was in conformance on this issue (the 60% versus 100% charitable contribution limit) after 12/31/2018, but the Cares Act was signed into law on March 27, 2020. As the MN Society of CPAs says, the state has not adopted the changes made by the feds in 2020.

 

I have looked and I do not find any evidence that Minnesota has passed new legislation since March 2020 adopting the new 100% limit. I am concerned that when the employee at the state told you that Minnesota is following Pub 526, they were thinking of Pub 526 as it existed before the latest federal updates. Note that Pub 526 still refers to the 60% limit, and there is a separate section that was inserted that talks about the 100% limit.

 

So I will try to call the state tomorrow, but I suspect that I will find that the software is working correctly. I will let you know what I find. 

 

 

PS "My guess is that is why your sanitized versions did not work rather than a problem with updating the software." It is highly likely that this was the problem.

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