Trade or business income apportionment; foreign sales factors required in apportionment percentage of certain taxpayers.

This bill requires certain Minnesota businesses to include foreign sales factors when calculating their state tax apportionment percentage, changing how income from foreign operations is counted for state tax purposes. The law applies to taxpayers with foreign sales and modifies the apportionment formula by increasing the weight of sales made within Minnesota relative to total sales, while reducing the weight of property and payroll factors over time. Additionally, it creates a special rule for qualified manufacturers that include global intangible low-taxed income, allowing them to include specific foreign sales in their sales factor calculation. The changes take effect for taxable years beginning after December 31, 2025, and affect businesses subject to Minnesota corporate income tax.