1.1 	A bill for an act
1.2 	relating to state government; prohibiting the imposition of certain taxes during a 
1.3 	shutdown period; prohibiting the expiration of state licensing during a shutdown 
1.4 	period;amending Minnesota Statutes 2020, section 290.0131, by adding a 
1.5 	subdivision; proposing coding for new law in Minnesota Statutes, chapter 290; 
1.6 	proposing coding for new law as Minnesota Statutes, chapter 12C.
1.7 	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:

1.8 	Section 1. [12C.01] SUSPENSION OF EXPIRATION OF STATE-REQUIRED 
1.9 	LICENSING DURING SHUTDOWN PERIOD.
1.10 		Subdivision 1.Definitions. (a) As used in this section, the definitions in paragraphs (b) 
1.11 	and (c) have the meanings given.
1.12 	(b) "License under Minnesota law" means an occupational, health, professional, business, 
1.13 	commercial, or any other permissive license required or allowed by state law and enforced 
1.14 	or overseen by a state agency or entity, but does not include any license required or allowed 
1.15 	by federal law.
1.16 	(c) "Shutdown period" means the time period beginning on July 1 of an odd-numbered 
1.17 	year during which legislation appropriating money for the general operations of any of the 
1.18 	following divisions of government has not been enacted for the biennium beginning July 1 
1.19 	of that year:
1.20 	(1) an executive agency;
1.21 	(2) an office or department of the legislature, including each house of the legislature and 
1.22 	the Legislative Coordinating Commission; or
1.23 	(3) a judicial branch agency or department, including a court.
2.1 		Subd. 2.Suspension of license expiration; extension to renew. A license under 
2.2 	Minnesota law does not expire during a shutdown period. A license that would otherwise 
2.3 	have expired is extended for 60 days after the last day of the shutdown period.

2.4 	EFFECTIVE DATE. This section is effective the day following final enactment.

2.5 	Sec. 2. Minnesota Statutes 2020, section 290.0131, is amended by adding a subdivision 
2.6 	to read:
2.7 		Subd. 19.Wages paid during a shutdown period. The amount of wages paid on which 
2.8 	no tax is deducted and withheld under section 290.994, subdivision 2, is a subtraction.

2.9 	EFFECTIVE DATE. This section is effective the day following final enactment.

2.10 	Sec. 3. [290.994] NO TAX IMPOSED DURING SHUTDOWN PERIOD.
2.11 		Subdivision 1.Definitions. (a) As used in this section, the definitions in paragraphs (b) 
2.12 	and (c) have the meanings given.
2.13 	(b) "Consumption tax" means a tax imposed under chapter 295, 296A, 297A, 297B, 
2.14 	297E, 297F, 297G, or 297H.
2.15 	(c) "Shutdown period" means the time period beginning on July 1 of an odd-numbered 
2.16 	year during which legislation appropriating money for the general operations of any of the 
2.17 	following divisions of government has not been enacted for the biennium beginning July 1 
2.18 	of that year:
2.19 	(1) an executive agency;
2.20 	(2) an office or department of the legislature, including each house of the legislature and 
2.21 	the Legislative Coordinating Commission; or
2.22 	(3) a judicial branch agency or department, including a court.
2.23 		Subd. 2.Tax on wages not imposed. No tax shall be deducted and withheld on wages 
2.24 	paid by an employer under section 290.92 on a day that falls within a shutdown period or 
2.25 	ten days after that period.
2.26 		Subd. 3.Consumption taxes not imposed. No consumption tax shall be imposed if the 
2.27 	activity or transaction giving rise to the tax occurs during a shutdown period or three days 
2.28 	after that period.

2.29 	EFFECTIVE DATE. This section is effective the day following final enactment.