Legislative Session number- 87

Bill Name: SF2136

1E Relating to taxation

ARTICLE 1 - DEPARTMENT POLICY AND TECHNICAL: INCOME
AND CORPORATE FRANCHISE TAXES

Modifying certain definitions; modifying and
clarifying certain provisions relating to the payment of estimated taxes by
corporations, certain limitations of time for the assessment of tax and certain
federal extension provisions; modifying provisions related to the operating loss
deduction and unitary business ownership; making policy, technical,
administrative, and other changes to certain tax provisions

ARTICLE 2 -
DEPARTMENT POLICY AND TECHNICAL: ESTATE TAXES

Clarifying the definition of
family member and qualified heir; modifying certain recapture tax returns and
payment due date requirements; clarifying exclusions for small business property
estate tax and qualified farm property; modifying certain recapture tax
requirements; making policy, technical, administrative, and other changes to
certain tax provisions

ARTICLE 3 - DEPARTMENT POLICY AND TECHNICAL: PROPERTY
TAX

Clarifying certain air flight property tax provisions; modifying assessor
appraisal activities for exempt property used by private entity for profit;
expanding the definition of person; modifying and clarifying certain provisions
relating to the rural preserve property tax program, homestead applications,
agricultural homesteads, class 4bb residential classifications, tax on leased
exempt property, administrative appeals for railroads and utilities, and
modifying the definition of rural area for electrical cooperative per capita
tax; modifying certain delinquent property tax notice provisions; modifying lien
notice requirements under the senior citizens property tax deferral program;
repealing certain obsolete provisions; making policy, technical, administrative,
and other changes to certain tax provisions

ARTICLE 4 - DEPARTMENT POLICY AND
TECHNICAL: SALES AND USE TAXES; SPECIAL TAXES

Modifying certain provisions
relating to the automobile theft prevention surcharge; defining real property
partitions for deeds; modifying presumption of tax burden of proof and defining
"taken in good faith"; redefining whole sales price for tobacco products for
liquor taxation purposes; clarifying brewer credit eligibility requirements;
modifying the surplus line brokers nonadmitted insurance premium tax; extending
authority of Ramsey and Hennepin counties to impose a mortgage registry and deed
tax; modifying purchasing groups due dates for filing returns; clarifying tax
exemptions for materials used in minerals processing and sales tax provisions
relating to admission tickets; making policy, technical, administrative, and
other changes to certain tax provisions

ARTICLE 5 - DEPARTMENT POLICY AND
TECHNICAL: MINERALS

Removing the property tax exemption for direct reduced
ore subject to net proceeds tax; defining hydrometallurgical processes for the
nonferrous occupation tax; modifying the distribution of net proceeds tax on
mining or extractions outside the taconite assistance area

ARTICLE 6 -
DEPARTMENT POLICY AND TECHNICAL: MISCELLANEOUS

Making policy, technical,
administrative, and other changes to certain miscellaneous tax provisions;
modifying department of management and budget unpaid state warrant duplicate
issuance requirements; modifying certain revenue department provisions relating
to notice of determination requirements, penalty for failure to pay
electronically, and wage levy disclosure or payments notice and procedures;
modifying and clarifying the time frame for certain provisions relating to
interest on penalties; clarifying civil penalties for nonpayment of
tax

ARTICLE 7 - ECONOMIC DEVELOPMENT PROVISIONS CLEANUP

Making technical
and clarifying changes in enterprise zone and economic development powers;
removing obsolete provisions

ARTICLE 8 - PUBLIC FINANCE

Modifying certain
provisions relating to the issuance of county capital improvement bonding
requirements; expanding the definition of capital improvement; modifying county
bonds application of election requirement and limitations on amount; modifying
the definitions of public facility bonds and enterprise zone facility bonds;
modifying the bond allocation carryforward rules for tax-exempt bonding;
modifying certain municipality capital improvement bonding requirements,
modifying the reverse referendum authority for city capital improvement bonds,
limitations on amount, and street construction bond reverse referendum
provisions; extending and increasing the annual maximum debt the city of Saint
Paul may issue; authorizing Itasca county to issue general obligation bonds for
the county nursing home; authorizing Woodbury to issue bonds to finance the
Bielenberg sports center under certain conditions and without a
referendum

ARTICLE 9 - SALES TAXES

Exempting liquor retailers from filing
exemption certificate copies in the annual information report to the
commissioner of revenue; clarifying certain requirements for the local sales tax
base imposed by a political subdivision; modifying the list of cities that share
revenue from the Rochester local sales tax; modifying the Rochester lodging tax
authority; modifying the St. Cloud area cities local sales and use tax by
extending it to regional facilities and delaying the date of tax termination
upon referendum approval; modifying the use of local sales tax revenues for the
city of Clearwater; authorizing local sales tax for the city of Proctor and
authorizing food, beverage and entertainment taxes; requiring the department of
revenue to conduct a solicitor nexus study, legislative report requirement;
repealing the Rochester food and beverage tax

ARTICLE 10 - PROPERTY
TAXES

Modifying the education funding taconite payment and other reductions
in levies procedure; increasing the permitted holding period for exempt property
held for economic development for certain cities; providing for appeals of
denial of Green Acres treatment; modifying property tax statements and notices;
authorizing the city of Vergas in Otter Tail county to impose an aggregate tax
under certain conditions; authorizing forfeiture of a certain percentage of
local government aid for cities not submitting the required financial documents
to the state auditor by the required deadline; expanding the tax levy authority
of the Cook-Orr hospital district for ambulance services; exempting certain
cities from 2011 aid payment penalties; repealing the requirement for review of
property tax system benchmark and indicators
(je)