Bill Text: MN SF83 | 2011-2012 | 87th Legislature | Introduced
Bill Title: Sales tax exemption for clothing repeal; clothing sales income tax credit creation and appropriation; sales tax rate adjustment
Sponsorship: Partisan Bill (Democrat 1)
Status: (Introduced - Dead) 2011-01-24 - Referred to Taxes [SF83 Detail]
Download: Minnesota-2011-SF83-Introduced.html
1.2relating to taxation; repealing the sales tax exemption for clothing; adjusting
1.3the sales tax rate; creating a clothing sales tax credit; appropriating money;
1.4amending Minnesota Statutes 2010, sections 116.92, subdivision 8; 297A.62,
1.5subdivision 1; proposing coding for new law in Minnesota Statutes, chapter 290;
1.6repealing Minnesota Statutes 2010, sections 297A.61, subdivision 46; 297A.67,
1.7subdivision 8.
1.8BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:
1.9 Section 1. Minnesota Statutes 2010, section 116.92, subdivision 8, is amended to read:
1.10 Subd. 8. Ban; toys, games, and apparel. A person may not sell for resale or at
1.11retail in this state a toy or game that contains mercury, or an item of clothing or wearing
1.12apparelthat is exempt from sales tax under section
297A.67, subdivision 8, that contains
1.13an electric switch that contains mercury.
1.14 Sec. 2. [290.0683] CLOTHING SALES TAX CREDIT.
1.15 Subdivision 1. Definitions. (a) For purposes of this section, the following terms
1.16have the meanings given.
1.17(b) "Income" has the meaning given in section 290.067, subdivision 2a.
1.18(c) "Dependent" has the meaning given in section 152 of the Internal Revenue Code.
1.19 Subd. 2. Credit allowed. A taxpayer is allowed a refundable credit against the tax
1.20imposed under this chapter. The credit is equal to $60 for a married couple filing a joint
1.21return, and $30 for all filers, plus $30 for the first dependent claimed on the return, $15
1.22for each of the second and third dependents claimed on the return, $10 for the fourth
1.23dependent claimed on the return, and $5 for each subsequent dependent.
2.1 Subd. 3. Limitations. The credit allowed in this section is reduced by $10 for every
2.2$1,000 of income in excess of 200 percent of the federal poverty guidelines.
2.3 Subd. 4. Appropriation. An amount sufficient to pay the refunds required by this
2.4section is appropriated to the commissioner from the general fund.
2.5EFFECTIVE DATE.This section is effective for taxable years beginning after
2.6December 31, 2011.
2.7 Sec. 3. Minnesota Statutes 2010, section 297A.62, subdivision 1, is amended to read:
2.8 Subdivision 1. Generally. Except as otherwise provided in subdivision 3 or in this
2.9chapter, a sales tax of6.5 ... percent is imposed on the gross receipts from retail sales as
2.10defined in section297A.61, subdivision 4 , made in this state or to a destination in this
2.11state by a person who is required to have or voluntarily obtains a permit under section
2.12297A.83, subdivision 1
.
2.13EFFECTIVE DATE.This section is effective for taxable years beginning after
2.14December 31, 2011.
2.15 Sec. 4. REPEALER.
2.16Minnesota Statutes 2010, sections 297A.61, subdivision 46; and 297A.67,
2.17subdivision 8, are repealed.
2.18EFFECTIVE DATE.This section is effective for taxable years beginning after
2.19December 31, 2011.
1.3the sales tax rate; creating a clothing sales tax credit; appropriating money;
1.4amending Minnesota Statutes 2010, sections 116.92, subdivision 8; 297A.62,
1.5subdivision 1; proposing coding for new law in Minnesota Statutes, chapter 290;
1.6repealing Minnesota Statutes 2010, sections 297A.61, subdivision 46; 297A.67,
1.7subdivision 8.
1.8BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:
1.9 Section 1. Minnesota Statutes 2010, section 116.92, subdivision 8, is amended to read:
1.10 Subd. 8. Ban; toys, games, and apparel. A person may not sell for resale or at
1.11retail in this state a toy or game that contains mercury, or an item of clothing or wearing
1.12apparel
1.13an electric switch that contains mercury.
1.14 Sec. 2. [290.0683] CLOTHING SALES TAX CREDIT.
1.15 Subdivision 1. Definitions. (a) For purposes of this section, the following terms
1.16have the meanings given.
1.17(b) "Income" has the meaning given in section 290.067, subdivision 2a.
1.18(c) "Dependent" has the meaning given in section 152 of the Internal Revenue Code.
1.19 Subd. 2. Credit allowed. A taxpayer is allowed a refundable credit against the tax
1.20imposed under this chapter. The credit is equal to $60 for a married couple filing a joint
1.21return, and $30 for all filers, plus $30 for the first dependent claimed on the return, $15
1.22for each of the second and third dependents claimed on the return, $10 for the fourth
1.23dependent claimed on the return, and $5 for each subsequent dependent.
2.1 Subd. 3. Limitations. The credit allowed in this section is reduced by $10 for every
2.2$1,000 of income in excess of 200 percent of the federal poverty guidelines.
2.3 Subd. 4. Appropriation. An amount sufficient to pay the refunds required by this
2.4section is appropriated to the commissioner from the general fund.
2.5EFFECTIVE DATE.This section is effective for taxable years beginning after
2.6December 31, 2011.
2.7 Sec. 3. Minnesota Statutes 2010, section 297A.62, subdivision 1, is amended to read:
2.8 Subdivision 1. Generally. Except as otherwise provided in subdivision 3 or in this
2.9chapter, a sales tax of
2.10defined in section
2.11state by a person who is required to have or voluntarily obtains a permit under section
2.13EFFECTIVE DATE.This section is effective for taxable years beginning after
2.14December 31, 2011.
2.15 Sec. 4. REPEALER.
2.16Minnesota Statutes 2010, sections 297A.61, subdivision 46; and 297A.67,
2.17subdivision 8, are repealed.
2.18EFFECTIVE DATE.This section is effective for taxable years beginning after
2.19December 31, 2011.
