HF 3414

as introduced - 93rd Legislature (2023 - 2024) Posted on 03/25/2024 04:17pm

A bill for an act
relating to taxation; local lodging taxes; clarifying authority for political
subdivisions to impose and collect local lodging taxes; amending Minnesota
Statutes 2022, section 469.190, subdivisions 1, 7.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:

Section 1.

Minnesota Statutes 2022, section 469.190, subdivision 1, is amended to read:

Subdivision 1.

Authorization.

new text begin (a) new text end Notwithstanding section 477A.016 or any other law,
a statutory or home rule charter city may by ordinance, and a town may by the affirmative
vote of the electors at the annual town meeting, or at a special town meeting, impose a tax
of up to three percent on the gross receipts from the furnishing for consideration of lodging
at a hotel, motel, rooming house, tourist court, or resort, other than the renting or leasing
of it for a continuous period of 30 days or more. A statutory or home rule charter city may
by ordinance impose the tax authorized under this subdivision on the camping site receipts
of a municipal campground.

new text begin (b) A tax imposed under this subdivision or under a special law applies to the entire
consideration paid to obtain access to lodging, including ancillary or related services, such
as services provided by an accommodations intermediary as defined in section 297A.61,
subdivision 47.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective July 1, 2024.
new text end

Sec. 2.

Minnesota Statutes 2022, section 469.190, subdivision 7, is amended to read:

Subd. 7.

Collection.

new text begin (a) new text end The statutory or home rule charter city may agree with the
commissioner of revenue that a tax imposed pursuant to this section shall be collected by
the commissioner together with the tax imposed by chapter 297A, and subject to the same
interest, penalties, and other rules and that its proceeds, less the cost of collection, shall be
remitted to the city.

new text begin (b) If a tax imposed under this section or special law is not collected by the commissioner
of revenue, the local government imposing the tax may, by ordinance, limit the required
filing and remittance of the tax by an accommodations intermediary to once per calendar
year. The local government must inform the accommodations intermediary of the date when
the return or remittance is due and the dates must coincide with one of the monthly dates
for filing and remitting state sales tax under chapter 297A. The local government must
electronically provide an accommodations intermediary with the geographic and zip code
information necessary to properly collect the tax.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective July 1, 2024.
new text end