hf4127THIRD ENGROSSMENTOmnibus tax bill and money appropriated.ARTICLE 1 2000 SALES TAX REBATESection 1: sales tax rebate statement of purpose. Sec. 2: individual sales tax rebate schedule, definitions, and requirements provided. Sec. 3: appropriation provided to fund the 2000 sales tax rebate. Sec. 4: effective date.ARTICLE 2 AGRICULTURAL ASSISTANCE Sec. 1: livestock production facility definition clarified. Sec. 2-3: payments to farmers deadline extended. Sec. 4: agricultural assistance appropriation added for year 2000. Sec. 5: agricultural assistance in 2000; definitions, payments, limits, and penalties provided. Sec. 6: appropriation provided to fund agricultural assistance measures.ARTICLE 3 1999 SALES TAX REBATE Sec. 1: 1999 sales tax rebate residency requirement clarified, deadlines extended, and estate provisions specified. Sec. 2: application of law clarified. Sec. 3: appropriation provided to pay for rebates.ARTICLE 4 INCOME AND FRANCHISE TAXES Sec. 1: tax refund or return preparer definition provided. Sec. 2: tax withholding effective date clarified. Sec. 3: corporate minimum liability clarified. Sec. 4: reasonable cause presumed for late payment of state income tax if paid within six months. Sec. 5: subtractions from federal taxable income carryover provided, health insurance deduction clarified, and small ethanol producer credit deduction provided. Sec. 6: corporate federal taxable income additions to include minimum fees for corporations or partnerships tax. Sec. 7: federal small ethanol producer credit allowed as deduction from corporate federal taxable income. Sec. 8: depreciation modifications for corporations provisions clarified. Sec. 9: income and franchise taxation general rule clarifications provided. Sec. 10-11: taxation exceptions and limitations effective date provided. Sec. 12: schedules of rates for individuals, estates, and trusts modified. Sec. 13: previous inflation adjustment of brackets imposition date delayed. Sec. 14: credit for taxes paid to another state effective date provided. Sec. 15: nonresident s credit for taxes paid to state of domicile. Sec. 16: credit provided for transit passes. Sec. 17-18: Minnesota working family credit percentages increased, and appropriation to include TANF block grants fund transfers. Sec. 19: TANF block grant funds appropriated to pay for expansion of Minnesota working family credit. Sec. 20-21: long-term care insurance credit definitions and credit maximums modified. Sec. 22: marriage penalty credit earned income definition modified. Sec. 23: minimum income levels increased for marriage penalty credit. Sec. 24: marriage penalty credit schedule provided. Sec. 25: individual, estate, and trust alternative minimum tax decreased. Sec. 26: alternative minimum taxable income definition modified. Sec. 27: alternative minimum tax credit for prior years liability conforming change provided. Sec. 28: assignment of nonbusiness income for nonresidents provisions clarified. Sec. 29: irregular period withholding provisions clarified. Sec. 30: employees incurring no income tax liability provisions clarified. Sec. 31: payments to horseracing license holders withholding percentage reduced. Sec. 32: lottery prize withholding tax percentage reduced. Sec. 33: enterprise zone tax credit rate conforming change provided. Sec. 34: tax information sample data study provided and reports required. Sec. 35: temporary powers granted commissioner of revenue to establish alternative tax filing and payment date pilot studies. Sec. 36: study of taxpayer assistance services provided. Sec. 37: electronic income tax checkoff program report required.ARTICLE 5 PROPERTY TAXES Sec. 1: annual appraisal of flight property required. Sec. 2: airflight property tax lien provided. Sec. 3: political subdivisions under 10,000 population allowed to hold property for 15 years for public purpose of later resale for economic development purposes. Sec. 4: specified electric generation facility property tax exemption provided. Sec. 5: information required on a certificate of real estate value (CRV) limited to the information required as of the date of acknowledgment of the deed. Sec. 6: green acres treatment extended to noncontiguous agricultural land that is farmed with qualifying agricultural land if the noncontiguous parcel is within four townships of the qualifying land Sec. 7: residential homestead general rule provisions clarified and agricultural homestead eligibility extended to grandchildren. Sec. 8: joint farm ventures included in family farm corporation homestead provisions. Sec. 9: special agricultural homestead provisions specified for child of landowner and for shareholders or partners farming family farm corporations, partnerships, or joint farm ventures; and specified agricultural property consisting of at least 40 acres classified as homestead. Sec. 10: trust property homestead requirements provided. Sec. 11: storage sheds or decks on travel trailer sites exempted from property taxes if under a specified value. Sec. 12: class 3 property tax provisions modified. Sec. 13: class 4 property tax provisions modified. Sec. 14: education agricultural credit percentage increased. Sec. 15: taxable wind energy conversion systems technical clarification. Sec. 16: utility valuations proceedings and appeals process provided. Sec. 17: Middle Mississippi river watershed management organization defined as a special taxing district for purposes of property taxation and property tax state aids. Sec. 18: property tax overpayment provision clarified. Sec. 19: refunds and refund process provided for repayment of mistakenly billed taxes. Sec. 20: senior citizens property tax deferral program requirement repealed relating to delinquencies. Sec. 21: delinquent taxes and special assessments paid to county upon approval of senior citizen property tax deferral application. Sec. 22: maximum allowable total deferral amount reduced to reflect delinquent property taxes, penalties, and interest. Sec. 23: calculation of deferred property tax amount provisions clarified. Sec. 24: property tax, penalties, interest and special assessments added to lien created under senior citizen property tax deferral program. Sec. 25-27: senior property tax deferral program termination and payment upon termination provisions clarified; and money appropriated for county payments. Sec. 28: Dakota county administrative penalty authority extended relating to water resources. Sec. 29: municipality definition extended to include counties for purposes of special assessment for 911 services. Sec. 30: definition of improvement extended to include signs and markers for addressing related to special assessment for 911 services. Sec. 31: municipal councils authorized to establish signs and markers for addressing related to operation of enhanced 911 telephone service. Sec. 32: notice of special assessment hearings required to contain impact statements. Sec. 33: White Earth Indian reservation designated housing entity property tax exemption provided. Sec. 34: entire town of Silver included in Moose Lake fire protection district. Sec. 35: town of Silver fire protection services property tax repealed. Sec. 36: Moose Lake fire protection district authorized to acquire capital equipment. Sec. 37: Eveleth-Gilbert joint recreation board tax authorized. Sec. 38: forest land taxation study required. Sec. 39: money transferred from property tax reform account to the general fund. Sec. 40: repealer. Sec. 41: effective date.ARTICLE 6 LEVY LIMITS AND AIDS TO LOCAL GOVERNMENT Sec. 1-2: payments in lieu of taxes to a county or town for public hunting areas, game refuges, and goose management croplands reduced by the amount of payments to that county or town for that year under the general payment in lieu of taxes (PILT) provision; and payments allocated within the county. Sec. 3: levy limit aid offset for court costs increase provided. Sec. 2: consumer price index definition provided. Sec. 3: special levy authority to operate regional jails extended, and special levy provided to counties electing to provide assessments by county-wide process. Sec. 4: special levies definition modified. Sec. 5: previous property tax levy limit clarification provided. Sec. 6: city aid base increase provided, and adjustments provided for specified municipalities. Sec. 7: local government aid payments increased to incorporate local performance aid. Sec. 8-9: class 4d low-income apartment aid extended. Sec. 10: statutory reference technical correction provided. Sec. 11-14: inflation adjustments provided for the amounts paid as payments in lieu of taxes for natural resources land beginning in 2001 and thereafter. Sec. 15-16: Cook area hospital district mathematical errors corrected. Sec. 17: capitol region watershed district levy limit provided. Sec. 18: Lincoln county aid increase provided for legal costs. Sec. 19: additional local government aid provided city of St. Cloud and St. Augusta township (city of Ventura). Sec. 20: Lake of the Woods and Koochiching county expenditures for road and bridge purposes authorized. Sec. 21: St. Louis county heritage and arts center included in definition of capital improvement.ARTICLE 7 MOTOR VEHICLE REGISTRATION TAX Sec. 1: providing a passenger automobile motor vehicle registration tax maximum of 189 for first renewal period and 99 for subsequent renewal periods. Sec. 2: motor vehicle tax funds dedicated to the highway user tax distribution fund. Sec. 3: money appropriated to the highway user tax distribution fund.ARTICLE 8 SALES AND USE TAXES Sec. 1: due date provisions for electronic fund transfer tax technical modification provided, and remittance percentage reduced. Sec. 2: penalty provided for misusing sales tax exemption certificate to evade tax on services. Sec. 3: conforming change. Sec. 4: maple syrup harvesting included in agricultural production definition. Sec. 5: farm machinery definition expanded to include equipment used in production of trees and shrubs, and in harvesting maple syrup. Sec. 6: agricultural processing facilities building materials and equipment sales tax refund provided, and money appropriated. Sec. 7: aircraft delivered outside state sales tax exemption provided. Sec. 8: base blocks used in metalcasting sales tax exemption provided. Sec. 9: sales to state agency libraries exempted, and sales to a county of gravel and road maintenance machinery and leases of motor vehicles exempted. Sec. 10: nonprofit and charitable organization motor vehicle leasing sales tax exemption clarified. Sec. 11: motor vehicle tax exemption clarified relating to vehicles purchased or leased by political subdivisions. Sec. 12: materials used to make residential property handicapped accessible sales tax exemption provided. Sec. 13: maintenance of cemetery grounds tax exemption provided. Sec. 14: sales tax exemption provided for patents, trademarks and copyright drawings and documents. Sec. 15: machinery and equipment used for ski areas tax exemption provided. Sec. 16: feed for poultry raised for human consumption tax exemption provided. Sec. 17: specified agricultural pork processing facility (Prairie Farmers Cooperative) construction materials tax exemption provided. Sec. 18: specified pork and beef processing facility (Lorentz Meats) construction materials tax exemption provided. Sec. 19: motor vehicle transfers exempted from sales tax expanded to include gift transfers between individuals submitting affidavit to that effect. Sec. 20: motor vehicle tax exemptions expanded. Sec. 21: local sales tax on motor vehicles maximum amount implemented. Sec. 22: commissioner of revenue authorized to enter into multistate sales tax discussions, pilot project authorized, and report required.ARTICLE 9 HEALTH CARE TAXES Sec. 1: health maintenance organization premium tax provisions modified. Sec. 2: patient services definition exclusions provided relating to nursing home services and examinations. Sec. 3: federal employees health benefits act payments exempted from the MinnesotaCare tax. Sec. 4: provider tax refunds paid from health care access fund.ARTICLE 10 SPECIAL TAXES Sec. 1: county reporting requirements expanded on usage of SCORE grant funding. Sec. 2: mortgage registry and deed tax amendment definition technical clarification provided. Sec. 3: lawful gambling tax reduced on paddlewheel, raffles, and bingo. Sec. 4: tax credit provided for specified raffles which benefit victims of accident, crime, fire, illness or natural disaster. Sec. 5: pull-tab and tipboard tax reduced and conforming changes provided. Sec. 6: lawful gambling combined receipts taxes reduced. Sec. 7: consumer definition clarified relating to tobacco. Sec. 8: invoice definition provided relating to tobacco. Sec. 9: tobacco retailer licensure requirement clarified. Sec. 10: tobacco tax stamp definition clarified. Sec. 11: unlicensed seller definition provided. Sec. 12-16: tobacco; heat applied tax stamp references replaced with tax stamp. Sec. 17-18: June accelerated payments of excise tax on cigarettes and tobacco products repealed. Sec. 19: retailer and subjobber required to preserve invoices and make them available upon request by the commissioner. Sec. 20: contraband definition expanded to include tobacco products offered for sale or held as inventory without an invoice. Sec. 21: contraband seizure provisions clarified. Sec. 22: repealer.ARTICLE 11 TAX INCREMENT FINANCING Sec. 1: qualified housing district definition expanded to include specified single-family homeownership projects. Sec. 2: housing improvement area authority definition provided. Sec. 3: implementing entity definition provided. Sec. 4: governing bodies authorized to implement multiple housing improvement areas. Sec. 5-10: city references replaced with implementing entity related to housing improvement areas. Sec. 11: housing improvement area authority sunset extended to 2005. Sec. 12:housing and redevelopment authority power to conduct mined underground space development repealed. Sec. 13: mined underground space tax increment financing district option repealed. Sec. 14: redevelopment district definition expanded to include tank facilities property. Sec. 15: tax increment financing housing district definition modified. Sec. 16: mined underground space development district removed from economic development district definition. Sec. 17: administrative expense definition clarified. Sec. 18: tourism facility definition clarified. Sec. 19: counties allowed 45 days to submit proposed road improvements to be included in TIF plan. Sec. 20: notification of counties and school districts required to be sent to the county auditor and clerk of the school district. Sec. 21: commissioner authorized to waive 30-day notice requirement for housing or redevelopment districts. Sec. 22: mined underground space development district reference deleted. Sec. 23: annual disclosure provisions modified. Sec. 24: annual financial reporting provisions modified. Sec. 25: TIF duration limits and terms modified. Sec. 26: housing district revenue use requirements provided. Sec. 27: noncompliance and enforcement measures specified. Sec. 28: housing district expenditures outside the district requirements specified. Sec. 29: original net tax capacity adjustment provisions modified. Sec. 30: enforcement provisions clarified. Sec. 31: tax increment reporting provision clarified. Sec. 32: repayment provisions specified for increments received after maximum duration of district. Sec. 33-35: property tax abatement provisions modified. Sec. 36: increment definition provided. Sec. 37: Brooklyn Park economic development authority, TIF No. 18, green acres usage extended. Sec. 38: Fountain TIF district 1-1 extension authorized. Sec. 39: Mendota Heights TIF district No. 1 extension authorized. Sec. 40: St. Paul housing and redevelopment authority TIF housing district authorized, area defined, and income requirements provided. Sec. 41: Winona TIF no. 2 district ratification of expenditure provided. Sec. 42: Richfield redevelopment grants provided. Sec. 43: Minnesota Minerals 21st Century Fund appropriation provided. Sec. 44: repealer.ARTICLE 12 FEDERAL UPDATE Sec. 1: Internal Revenue Code reference updated. Sec. 2: net income definition updated. Sec. 3-5: Internal Revenue Code references updated.ARTICLE 13 MISCELLANEOUS Sec. 1: compromise of fee claims provided. Sec. 2: lost or destroyed warrant duplicate indemnity provisions clarified. Sec. 3: notification of action on debts by department of revenue provisions clarified. Sec. 4: vehicles owned by an employee of a commercial driving school used exclusively for driver education and training tax exemption provided. Sec. 5: federal tax refund offset fees clarified. Sec. 6: date of assessment definition clarified. Sec. 7: claimant agency definition expanded to include municipalities presenting claims for a municipal ambulance service. Sec. 8: joint property tax refund definition clarified. Sec. 9: claimant agency fee additions repealed. Sec. 10: notice setoff procedures clarified. Sec. 11: commissioner filed returns provisions clarified. Sec. 12: non-specific penalties to bear interest after sixty days from date of notice. Sec. 13-17: technical clarifications. Sec. 18: Itasca and Cass counties distribution of casino tax revenues. Sec. 19: surplus transfer from workers compensation assigned risk plan provided. Sec. 20: instruction to revisor. Sec. 21: repealer.cth