Tax Conformity Bill With DMC Fixes Sent to Gov. Dayton

ST. PAUL, Minn. (AP) — Days into the income tax filing season, a bill that awards up to $20 million in extra deductions and credits is on the verge of becoming law.

The Minnesota Senate voted unanimously Thursday for the measure that previously sailed through the House. Gov. Mark Dayton intends to sign it.

The breaks are narrowly tailored and accomplished by aligning Minnesota's tax code with recent federal changes. Teachers who buy supplies, homeowners paying mortgage insurance and college students with certain tuition costs are among the beneficiaries. Several types of businesses would have more flexibility in claiming deductions.

Without the changes, some Minnesota taxpayers would have had to add back for state tax forms some of the income they can subtract on federal forms.

The measure also contains language designed to fix some glitches in the Destination Medical Center law that were approved in the State House last week. 

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ST. PAUL, Minn. (AP) — A flood aid package meant to assist more than half of Minnesota counties hit with severe flooding cleared the Minnesota Senate on Thursday.

By a 65-0 vote, the Senate approved a bill providing $17 million in state assistance for cleanup and recovery costs stemming from June storms. The House is on course to vote on the companion bill Monday.

Forty-seven counties and three tribal governments were covered by a federal disaster declaration. While the federal government picks up 75 percent of the tab, the state usually foots the remaining bill. The state is also helping some counties left off the federal list.

Part of the bill's cost is a $3 million allotment to fix local roadways that weren't covered by the federal order.