Bill Text: MN SF2896 | 2013-2014 | 88th Legislature | Introduced
Bill Title: Used tangible personal property goods and used motor vehicles sales tax exemptions
Sponsorship: Partisan Bill (Republican 5)
Status: (Introduced - Dead) 2014-03-26 - Referred to Taxes [SF2896 Detail]
Download: Minnesota-2013-SF2896-Introduced.html
1.2relating to taxation; sales and use; motor vehicles; providing an exemption
1.3for used goods and used motor vehicles;amending Minnesota Statutes 2012,
1.4sections 297A.67, by adding a subdivision; 297B.03.
1.5BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:
1.6 Section 1. Minnesota Statutes 2012, section 297A.67, is amended by adding a
1.7subdivision to read:
1.8 Subd. 33. Used goods. Notwithstanding any other exemption provided under this
1.9chapter, used tangible personal property goods are exempt.
1.10EFFECTIVE DATE.This section is effective for sales and purchases made after
1.11June 30, 2014.
1.12 Sec. 2. Minnesota Statutes 2012, section 297B.03, is amended to read:
1.13297B.03 EXEMPTIONS.
1.14 There is specifically exempted from the provisions of this chapter and from
1.15computation of the amount of tax imposed by it the following:
1.16 (1) purchase or use, including use under a lease purchase agreement or installment
1.17sales contract made pursuant to section465.71 , of any motor vehicle by the United States
1.18and its agencies and instrumentalities and by any person described in and subject to the
1.19conditions provided in section297A.67, subdivision 11 ;
1.20 (2) purchase or use of any motor vehicle by any person who was a resident of
1.21another state or country at the time of the purchase and who subsequently becomes a
1.22resident of Minnesota, provided the purchase occurred more than 60 days prior to the date
2.1such person began residing in the state of Minnesota and the motor vehicle was registered
2.2in the person's name in the other state or country;
2.3 (3) purchase or use of any motor vehicle by any person making a valid election to be
2.4taxed under the provisions of section297A.90 ;
2.5 (4) purchase or use of any motor vehicle previously registered in the state of
2.6Minnesota when such transfer constitutes a transfer within the meaning of section 118,
2.7331, 332, 336, 337, 338, 351, 355, 368, 721, 731, 1031, 1033, or 1563(a) of the Internal
2.8Revenue Code;
2.9 (5) purchase or use of any vehicle owned by a resident of another state and leased
2.10to a Minnesota-based private or for-hire carrier for regular use in the transportation of
2.11persons or property in interstate commerce provided the vehicle is titled in the state of
2.12the owner or secured party, and that state does not impose a sales tax or sales tax on
2.13motor vehicles used in interstate commerce;
2.14 (6) purchase or use of a motor vehicle by a private nonprofit or public educational
2.15institution for use as an instructional aid in automotive training programs operated by the
2.16institution. "Automotive training programs" includes motor vehicle body and mechanical
2.17repair courses but does not include driver education programs;
2.18 (7) purchase of a motor vehicle by an ambulance service licensed under section
2.19144E.10
when that vehicle is equipped and specifically intended for emergency response
2.20or for providing ambulance service;
2.21 (8) purchase of a motor vehicle by or for a public library, as defined in section
2.22134.001, subdivision 2
, as a bookmobile or library delivery vehicle;
2.23 (9) purchase of a ready-mixed concrete truck;
2.24 (10) purchase or use of a motor vehicle by a town for use exclusively for road
2.25maintenance, including snowplows and dump trucks, but not including automobiles,
2.26vans, or pickup trucks;
2.27 (11) purchase or use of a motor vehicle by a corporation, society, association,
2.28foundation, or institution organized and operated exclusively for charitable, religious, or
2.29educational purposes, except a public school, university, or library, but only if the vehicle is:
2.30 (i) a truck, as defined in section168.002 , a bus, as defined in section
168.002 , or a
2.31passenger automobile, as defined in section168.002 , if the automobile is designed and
2.32used for carrying more than nine persons including the driver; and
2.33 (ii) intended to be used primarily to transport tangible personal property or
2.34individuals, other than employees, to whom the organization provides service in
2.35performing its charitable, religious, or educational purpose;
3.1 (12) purchase of a motor vehicle for use by a transit provider exclusively to provide
3.2transit service is exempt if the transit provider is either (i) receiving financial assistance or
3.3reimbursement under section174.24 or
473.384 , or (ii) operating under section
174.29 ,
3.4473.388
, or
473.405 ;
3.5 (13) purchase or use of a motor vehicle by a qualified business, as defined in section
3.6469.310
, located in a job opportunity building zone, if the motor vehicle is principally
3.7garaged in the job opportunity building zone and is primarily used as part of or in direct
3.8support of the person's operations carried on in the job opportunity building zone. The
3.9exemption under this clause applies to sales, if the purchase was made and delivery
3.10received during the duration of the job opportunity building zone. The exemption under
3.11this clause also applies to any local sales and use tax;
3.12 (14) purchase of a leased vehicle by the lessee who was a participant in a
3.13lease-to-own program from a charitable organization that is:
3.14 (i) described in section 501(c)(3) of the Internal Revenue Code; and
3.15 (ii) licensed as a motor vehicle lessor under section168.27, subdivision 4 ; and
3.16(15) purchase of a motor vehicle used exclusively as a mobile medical unit for the
3.17provision of medical or dental services by a federally qualified health center, as defined
3.18under title 19 of the Social Security Act, as amended by Section 4161 of the Omnibus
3.19Budget Reconciliation Act of 1990; and
3.20(16) purchase of a used motor vehicle.
3.21EFFECTIVE DATE.This section is effective for sales and purchases made after
3.22June 30, 2014.
1.3for used goods and used motor vehicles;amending Minnesota Statutes 2012,
1.4sections 297A.67, by adding a subdivision; 297B.03.
1.5BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:
1.6 Section 1. Minnesota Statutes 2012, section 297A.67, is amended by adding a
1.7subdivision to read:
1.8 Subd. 33. Used goods. Notwithstanding any other exemption provided under this
1.9chapter, used tangible personal property goods are exempt.
1.10EFFECTIVE DATE.This section is effective for sales and purchases made after
1.11June 30, 2014.
1.12 Sec. 2. Minnesota Statutes 2012, section 297B.03, is amended to read:
1.13297B.03 EXEMPTIONS.
1.14 There is specifically exempted from the provisions of this chapter and from
1.15computation of the amount of tax imposed by it the following:
1.16 (1) purchase or use, including use under a lease purchase agreement or installment
1.17sales contract made pursuant to section
1.18and its agencies and instrumentalities and by any person described in and subject to the
1.19conditions provided in section
1.20 (2) purchase or use of any motor vehicle by any person who was a resident of
1.21another state or country at the time of the purchase and who subsequently becomes a
1.22resident of Minnesota, provided the purchase occurred more than 60 days prior to the date
2.1such person began residing in the state of Minnesota and the motor vehicle was registered
2.2in the person's name in the other state or country;
2.3 (3) purchase or use of any motor vehicle by any person making a valid election to be
2.4taxed under the provisions of section
2.5 (4) purchase or use of any motor vehicle previously registered in the state of
2.6Minnesota when such transfer constitutes a transfer within the meaning of section 118,
2.7331, 332, 336, 337, 338, 351, 355, 368, 721, 731, 1031, 1033, or 1563(a) of the Internal
2.8Revenue Code;
2.9 (5) purchase or use of any vehicle owned by a resident of another state and leased
2.10to a Minnesota-based private or for-hire carrier for regular use in the transportation of
2.11persons or property in interstate commerce provided the vehicle is titled in the state of
2.12the owner or secured party, and that state does not impose a sales tax or sales tax on
2.13motor vehicles used in interstate commerce;
2.14 (6) purchase or use of a motor vehicle by a private nonprofit or public educational
2.15institution for use as an instructional aid in automotive training programs operated by the
2.16institution. "Automotive training programs" includes motor vehicle body and mechanical
2.17repair courses but does not include driver education programs;
2.18 (7) purchase of a motor vehicle by an ambulance service licensed under section
2.20or for providing ambulance service;
2.21 (8) purchase of a motor vehicle by or for a public library, as defined in section
2.23 (9) purchase of a ready-mixed concrete truck;
2.24 (10) purchase or use of a motor vehicle by a town for use exclusively for road
2.25maintenance, including snowplows and dump trucks, but not including automobiles,
2.26vans, or pickup trucks;
2.27 (11) purchase or use of a motor vehicle by a corporation, society, association,
2.28foundation, or institution organized and operated exclusively for charitable, religious, or
2.29educational purposes, except a public school, university, or library, but only if the vehicle is:
2.30 (i) a truck, as defined in section
2.31passenger automobile, as defined in section
2.32used for carrying more than nine persons including the driver; and
2.33 (ii) intended to be used primarily to transport tangible personal property or
2.34individuals, other than employees, to whom the organization provides service in
2.35performing its charitable, religious, or educational purpose;
3.1 (12) purchase of a motor vehicle for use by a transit provider exclusively to provide
3.2transit service is exempt if the transit provider is either (i) receiving financial assistance or
3.3reimbursement under section
3.5 (13) purchase or use of a motor vehicle by a qualified business, as defined in section
3.7garaged in the job opportunity building zone and is primarily used as part of or in direct
3.8support of the person's operations carried on in the job opportunity building zone. The
3.9exemption under this clause applies to sales, if the purchase was made and delivery
3.10received during the duration of the job opportunity building zone. The exemption under
3.11this clause also applies to any local sales and use tax;
3.12 (14) purchase of a leased vehicle by the lessee who was a participant in a
3.13lease-to-own program from a charitable organization that is:
3.14 (i) described in section 501(c)(3) of the Internal Revenue Code; and
3.15 (ii) licensed as a motor vehicle lessor under section
3.16(15) purchase of a motor vehicle used exclusively as a mobile medical unit for the
3.17provision of medical or dental services by a federally qualified health center, as defined
3.18under title 19 of the Social Security Act, as amended by Section 4161 of the Omnibus
3.19Budget Reconciliation Act of 1990; and
3.20(16) purchase of a used motor vehicle.
3.21EFFECTIVE DATE.This section is effective for sales and purchases made after
3.22June 30, 2014.
